Skip to comments.Reid seeks to lower expectations for auto bailout
Posted on 11/19/2008 9:49:57 AM PST by Zakeet
The top Senate Democrat sought Wednesday to lower expectations for legislation this week to help endangered domestic carmakers, saying it would be the Bush administration's job to save the industry if Congress doesn't.
"The Congress need do nothing" if it can't agree on a bill to speed $25 billion in new loans to the industry, Sen. Harry Reid of Nevada told colleagues. While he told the Senate he still hoped lawmakers could agree to an auto deal in the "next day or two" of the current lame-duck session, he added: "If we can't do it here legislatively, I would hope that the secretary of Treasury would listen loud and clear because they could take this into their own hands and do what I think is appropriate from their perspective."
The rescue plan appeared stalled on Capitol Hill, even as the heads of General Motors, Ford and Chrysler returned for a second day to plead for relief and as their congressional backers urged colleagues not to punish them for past mistakes.
In sometimes contentious testimony, Wagoner was pressed on when GM would run out of money if the loans weren't extended.
He said he couldn't say precisely, but that the company now was burning through "$5 billion each month."
Still, with the $25 billion emergency package, "We think we have a good shot to make it through this," Wagoner said. He said he anticipated that, if the package is approved, GM would qualify for about $10 billion to $12 billion of the money.
The financial situation for the automakers grows more precarious by the day. Cash-strapped GM said Tuesday it would delay reimbursing its dealers for rebates and other sales incentives and could run out of cash by year's end without government aid.
(Excerpt) Read more at news.yahoo.com ...
Article Summary: Even the dumbest of Rats is beginning to realize the bailout is a sorry idea. Therefore, they appear to be falling back to Plan-B -- stall for now and hope the Big-3 go bust before Barry takes office -- and in any case, lay off the entire blame on Bush and the Pubbies.
Aspiring welfare queens from left, General Motors Chief Executive Officer Richard Wagoner; Chrysler Chief Executive Officer Robert Nardelli; and Ford Chief Executive Officer Alan Mulally
They realize the GOP will filibuster-must punish those pesky unions and the Mid West. They have to wait for Pres.Obama before enacting a bailout. The Dems are smart enough to know that if GM fails before this, the economic chaos will be blamed on the GOP.
After all, the payment, I mean payback, is now due, eh?
Ford will make it through this. GM and Chrysler? Will have to file for bankruptcy.
That’s a good thing though.
Not a dime of my money for corporate welfare!
And a nice side effect is that all of the UAW goons who would never vote for a Republican will be out of work, and Michigan will become even more of a third world country than it is now.
Becoming exhibit A of: What Liberalism does for you.
Dingy Harry, the most important Senator of all time, unable to get his will rammed through a ‘Rat Senate, LOL.
the big 3 should save themselves. It’s not just about the unions; the Big 3 feels they can do whatever they want and congress will always come to the rescue because they are too important to fail.
1. There is no way on earth this will not be blamed on Republicans, no matter what. The ONLY exception is if they pull themsleves out of the problem with no bailout. Then The One gets the credit.
2. Has anyone heard ONE WORD regarding how the “Big Three” will do anything different from how they are currently operating to stop the hemorraging of cash?
I think Reid is getting the message that Americans are tired of bail outs and this is why he is now hedging his bets. The fact that he is more concerned with the voters than his overarching principles demonstrates a true lack of leadership on his part. Of course, in usual fashion, if Congress does not pass a $25B bailout, then it will be Bush's fault!
Remember back in the day when Republicans would criticize social spending and the Democrats would counter that run away social spending was OK because Republicans supported "corporate welfare"? Don't hear that much any more.
Let’s see here, Waggoner says GM is burning through about $5 billion a month and that they would qualify for $10 to $12 billion of the $25 billion bailout. I didn’t do too well in high school algebra but by my calculations that means GM lives another 2.4 months, at best.
So Mr. Waggoner you’re going to return GM to profitability in 2.4 months when you’ve been in the red for how many years now?
This is just too surreal.
They hear their constituents screaming “NO BAILOUT” but their union buddies are screaming the exact opposite. They are punting the issue into the next quarter..........
This is the only real question any Democrat on the hill wants to know. Translation: Will we have the president when the music stops?
Why don’t these clowns go to the banks for loans, seeing as the banks have just been given tons of cash to work with.
This is a Spin by the Rats so they can say:
“We inherited a crisis much worse than expected and so we must do this and that “
..blah blah f***ing blah..
BTW was it not GM who Killed the electric EV1 ??
No they think that driving all American manufacturing under will be great for environment.
How can you blame the Bush Administration for people refusing to purchase Detroit automobiles??? I have NEVER purchases and American car because I know some union hack has his payoff embedded in the price. My car cash goes straight to Stutgart, Germany.
Interesting take on the idea that it is patriotic to buy American cars. But at some point, as you suggest, the only honest vote left to us is the indirect vote we make with our dollars. This vote can be manipulated. We should use it.
These guys all donated to McCain or Romney in the past election. Their hands are basically tied due to decades of labor agreements that they had nothing to do with. The real corporate thieves are the Wall Street bandits who partied hard and donated to Democrats to keep their shenanigans under wrap. It's not clear to me why conservatives continue to run these guys down...they have made the restructuring cuts necessary to keep their business going...it was Wall Street largesse that collapsed the world around them before their efforts could take hold.
Harry Reid: Miserable Failure.
They can do car conversions for those who have lost their house and need a place to live for the next ten or so years. HUD can pay for the conversions and also build car-house parks in every city over 50,000.
Looks like the big 3 are on their own until the Olapdog shows up.