REPORT: Obama planning to announce Chrysler bankruptcy tomorrow

[camaro5]

According to a report by Bloomberg citing the usual unnamed sources, President Obama will announce tomorrow that Chrysler will file for Chapter 11 bankruptcy while continuing to work on its alliance with Fiat

http://www.autoblog.com/2009/04/29/r...ptcy-tomorrow/

[avol2]

Originally Posted by camaro5

http://www.autoblog.com/2009/04/29/r...ptcy-tomorrow/

I am so glad our President of these United States doesnt have anything else to do........ hmmmm

[PQ]

GM had leverage with being public and using shares of stock. Chrysler is private. Is this the difference?

Seems to backup the idea of Gov. control.

[camaro5]

The question is, you know, give me a plan so that you're building off your strengths and you're projecting out to where that market is going to be. I actually think, if you look at the trends, that those auto companies that emerge from this crisis, when you start seeing the pent-up demand for autos coming back, they're going to be in a position to really do well, globally, not just here in the United States.

So I just want to help them get there. But I want to disabuse people of this notion that somehow we enjoy, you know, meddling in the private sector, if — if you could tell me right now that, when I walked into this office that the banks were humming, that autos were selling, and that all you had to worry about was Iraq, Afghanistan, North Korea, getting health care passed, figuring out how to deal with energy independence, deal with Iran, and a pandemic flu, I would take that deal.

And — and that's why I'm always amused when I hear these, you know, criticisms of, Oh, you know, Obama wants to grow government. No. I would love a nice, lean portfolio to deal with, but that's not the hand that's been dealt us.

And, you know, every generation has to rise up to the specific challenges that confront them. We happen to have gotten a big set of challenges, but we're not the first generation that that's happened to. And I'm confident that we are going to meet these challenges just like our grandparents and forebears met them before.

All right? Thank you, everybody.

Text of President Barack Obama's news conference on Wednesday at the White House, as transcribed by CQ Transcriptions

http://news.yahoo.com/s/ap/us_text_obama

[TAG UR IT]

Sad, sad day.....


Un-frickin' believable.

[Mr. Wyndham]

The Administration is overseeing this whole deal...he HAS to announce it. Both because they're responsible for 'protecting' them through the proceedings, and because they need to do everything possible to retain consumer trust in the company. Remember that statistic a while back about how many people wouldn't buy from a 'bankrupt' company?....

[Morepwr]

I thought they got the concession they needed from their union and vendors?
Bummer for them.

[dkb]

... I love cars about as much as I hate the government. So seeing the one sticking it's nose in the other is just really, really depressing.

If you've noticed .. absolutely none of the discussion has anything to do about building great cars. It's all about the politics ...

[BigRigMike]

Originally Posted by Morepwr

I thought they got the concession they needed from their union and vendors?
Bummer for them.

This sounds like this is a clean up bankruptcy. All of the major players have agreed to concessions and declaring bankruptcy is so that they can have a judge force concessions from the smaller players. The major banks (JP Morgan, Citi) have written off $5 billion of debt and the UAW has agreed to concession now they just need to get the smaller debt holders to agree.

[PQ]

Originally Posted by BigRigMike

This sounds like this is a clean up bankruptcy. All of the major players have agreed to concessions and declaring bankruptcy is so that they can have a judge force concessions from the smaller players. The major banks (JP Morgan, Citi) have written off $5 billion of debt and the UAW has agreed to concession now they just need to get the smaller debt holders to agree.

Problem is that the smaller players can't afford it as well as the main players. No bailout for the small guys.

[Tanner]

Good, now they can re-negotiate that UAW contract that's killing them.

[MerF]

So...who's next?

[Mr. Wyndham]

The President is supposed to hold a conference at noon, today specifically about the nation's auto industry...I recommend everyone tune in if they can. I, for one, am interested to hear what he has to say.

[DGthe3]

I'm pretty sure that this is the beginning of the end for Chrysler. The vast majority of their sales were in the US and there are a lot of Americans who say that they will refuse to buy cars from a bankrupt company or one thats owned (even in part) by the Government.