REPORT: Obama planning to announce Chrysler bankruptcy tomorrow

[MrIcky]

Should be interesting. Every commercial bankruptcy is different, but I guess we'll see the template now if GM is forced to this point.

[PQ]

Originally Posted by 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.

I'm actually one of those who thinks very similarly. But I'm not in the market for a car, don't need a car, I really don't want a car. But I want this car. So I'm buying it.

Originally Posted by MrIcky

Should be interesting. Every commercial bankruptcy is different, but I guess we'll see the template now if GM is forced to this point.

GM had stock shares to trade. Chrysler doesn't.

[Zabo]

...Tell me again why Obama is announcing the bankruptcy and NOT Chrysler's board?

[PQ]

Originally Posted by Zabo

...Tell me again why Obama is announcing the bankruptcy and NOT Chrysler's board?

It wouldn't bather me as much if Chrysler held a press conference and announced it too. But from what I understand they have not done that.

[MrIcky]

Obama would be announcing this in order to:

A: Try to put the best face on it possible in hopes of making this a success

and

B: To try to put a spin on it for the greater markets in hopes that this doesn't erase March's weak gains.

That's my opinion at least. Man everyone is so cynical about EVERYTHING.

[Zabo]

Originally Posted by MrIcky

Obama would be announcing this in order to:

A: Try to put the best face on it possible in hopes of making this a success

... GIT YOUR CHALLENGAHS HEAH! .5 CENTS ON THE DOLLAH!~

Mind you, by June if they're saying Camaros.. I'm buying the FACTORY!

[The_Blur]

Originally Posted by camaro5

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

Originally Posted by Dragoneye

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?....

Originally Posted by 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 ...

Originally Posted by MrIcky

Obama would be announcing this in order to:

A: Try to put the best face on it possible in hopes of making this a success

and

B: To try to put a spin on it for the greater markets in hopes that this doesn't erase March's weak gains.

That's my opinion at least. Man everyone is so cynical about EVERYTHING.

Here's the deal. The US government is the biggest, most powerful force in finance. In a global, not local, financial meltdown, many foreign angents are helping their corresponding economic players right now. Call it whatever you want, but it is necessary for the companies we know to stay in business.

Let's run with the idea that everyone went back 100 years to a completely free market. In that case, the current players would all go bankrupt. New companies would emerge, and the new players will pick up where the old players left off. It's a nice story, isn't it?

Add another factor: time.

You've all heard of the Tesla Roadster. It's an American exotic that runs with the best of them and runs on electric power. Tesla is not equipped to replace the production of major manufacturers when we all need new cars. It will take years for a small company like that to build enough cars that people want. They need to design them, build factories for them, and set up dealer networks. If all of the major players go down this year, Tesla will need a few years to even replace one company's production.

Time is something that we don't want to consider. We all think that bad executives should be fired, but that doesn't always happen right away, and we all make mistakes that should be forgiven. You've made mistakes, too, so don't pretend you have been the perfect employee of your company.

At the end of the day, we need the auto industry to back out existing cars with parts, replace our beaters with new cars, and keep other markets—financial, military, transportation, small business, postal—running. If we lose major players, then buyers will seek out other major players. I'd rather see successful American companies than successful Japanese companies, but I'm a selfish American. I'm not even going to lie about it. I want American companies to succeed. My will for this will not make it happen. If Chrysler disappears, then those buyers will go to imports. Don't fool yourself into thinking that they'll go for Ford or GM, other American companies that they've read aren't selling in the anti-American American press. Our own media is against our country's success, it would seem, and that makes me sick. What makes it worse is that so many of us believe the nonsense we're fed that we've come to terms with corporate failure and have gone the way of anarchists, blaming the government for everything.

It's not Obama's responsibility to open the door for a successful Chrysler, but he has done everything in his administrations' power to keep this crippled player alive so its workers and suppliers can stay employed. I have to applaud the effort. This administration is even trying to give GM the time to make changes to avoid a similar fate. I wish it weren't necessary, but the markets have turned on American companies.

What happened to the days where we were proud to buy American? We complain that American products are all build somewhere else, but turn a cold shoulder to the ones that give back to our country. We're crazy to let these storied companies go into oblivion.

Stop blaming big government, Democrats, and executives for your mistakes. You represent the market. What you buy is what sells, and when you're satisfied with your Toshiba when you could have bought Apple or your Honda when you could have bought Chevrolet, you're costing your neighbor his or her job. It's your fault, America. Buy American!

[dkb]

Originally Posted by MrIcky

Obama would be announcing this in order to:

A: Try to put the best face on it possible in hopes of making this a success

and

B: To try to put a spin on it for the greater markets in hopes that this doesn't erase March's weak gains.

That's my opinion at least. Man everyone is so cynical about EVERYTHING.

This is what they do in third world banana republics. The President/Dictator forces the private investors to relinquish their property through threat of government coercion ... he then "gives" the company to his political allies which in this case are the unions who will now own 55% of the new company. The government retains 25% and Fiat will own the rest.

It's called nationalization of private industries. All under the guise of "helping" out.

I love the way it's all presented. We hate to have to take over ... but we just have to for the good of the people. Yikes ....

He now owns significant shares of major American banks and is preventing them from paying back the loans under the guise of "you're not healthy enough to pay us back" ... he's carving up Chrysler and GM.

My bet is he'll go after the energy sector next.

We should all support Ford at this point.

[diddiyo]

[fastball]

For everyone's complaining about Obama and the govt. putting their fingers all over Chrysler and GM, just remember this: in December, both GM and Chrysler went to the govt asking for help because they were running out of money and their credit had all dried up. The govt. was the LAST RESORT for GM and Chrysler. If Obama and the govt. did not rub their fingers in everything, right now as we speak cranes would be pulling the GM blue square off the top of the RenCen and every one of your Camaros on order would be put out to pasture with not a chance in hell of you getting one.

I can't stand the fact the government is calling the shots either. But it was the last and only chance both companies had to stay open, keep the lights on, and continue operating.

It's one hell of a catch 22, but it is real and that's what we have to live with now.

[dkb]

Originally Posted by fastball

For everyone's complaining about Obama and the govt. putting their fingers all over Chrysler and GM, just remember this: in December, both GM and Chrysler went to the govt asking for help because they were running out of money and their credit had all dried up. The govt. was the LAST RESORT for GM and Chrysler. If Obama and the govt. did not rub their fingers in everything, right now as we speak cranes would be pulling the GM blue square off the top of the RenCen and every one of your Camaros on order would be put out to pasture with not a chance in hell of you getting one.

I can't stand the fact the government is calling the shots either. But it was the last and only chance both companies had to stay open, keep the lights on, and continue operating.

It's one hell of a catch 22, but it is real and that's what we have to live with now.

no ... what would have happened is they would have gone into bankruptcy, renegotiated their contracts to something tenable ... gotten smaller and leaner and come back out strong.

Obama got involved specifically to take over the company and protect his union allies. Let's not forget they spent $400 million in the last election cycle helping to elect him.

Now they OWN Chrysler! Pretty nice payback for a $400 mil investment.

[diddiyo]

Originally Posted by dkb

bla bla

ah yeah, it wasn't the bush administration that made the first step and gave them money, right?

not getting into politics, just stating a fact.

[MrIcky]

EVERYONE DOWN! The black helicopters are coming.

[PQ]

I'm incapable of staying away from politics at this point.