The Roanoke Slant

Roanoke Times, 6/2/09, Pg 1: Obama: GM’s nationalization only short term. Obama gives Government 60% and Canada 12.5%.
Nicely tucked away back on Pg 16: Obama gives GM an additional $30 BILLION for a running total of $50 BILLION and gives the UAW 17.5% of GM.Stockholders are wiped out and bondholders get 10%. And to think that the government is prosecuting Madoff for his ponzi scheme!
-
$50 BILLION and now they go to bankruptcy! What was the $50 BILLION used for?Apparently to pay UAW workers not to make cars. Their reward: 17.5% of the company! What a deal! Sounds like Chavez and the oil company takeovers!
-
GM has been on a straight line down from 45% market share in 1980 to 35% in 1992 to 28% in 2000 to 22% in 2008. Why didn’t the wonderful Bill Clinton team fix this when it went from 35% in 1992 to 28% in 2000; a time when the UAW forced GM to accept a contract giving them 90% pay when they weren’t building cars, a contract still in place!
-
So here we are, with a new AMTRACK. A government owed business in which white house aids, senators and congressmen are going to determine, based on politics of course, what dealerships survive, what plants are to be operated and what future car designs should be. What a bargain for America.
-
Toyota and Nissan meanwhile are doing what free-market enterprise companies are supposed to do: adapt, innovate, and focus on customer-centric products and service. Why didn’t we think of that?
-
Prior Items:http://roanokeslant.blogspot.com/2009/04/gm-sinking-with-our-tax-money.html-