deowll says:

Ya got two issues.

Almost nobody in my county makes the kind of money anyone in these companies in making. Expecting us to bail them out so they can keep on living a life style we’ve never had is not going to fly with many of us.

The other thing is this is going to take more than money.

If these guys can’t come up with a business modal that works a 100 trillion dollars isn’t enough to keep them afloat.

David Dzidzikashvili says:

The Big 3 should not be bailed out, since they are putting the products on the market that people do not want to buy. Besides the Big 3 will need much more money to sustain themselves and this bailout won’t work, due to the companies short-term and long-term financial obligations that will create further troubles for the automakers in future. They will ask for more bailout next year and the year after….

soundwash says:

if i may rear my ugly head up after some datamining
on the topic…

any corporation on line for a bailout should shown the door, period.

– as stated by others, bankruptcy gets all the bad/toxic debt off the balance sheets and allows the corp to start w/a clean slate. bailouts just ensure further pain down the line for the taxpayer.

-and since we’re going to be “killed off” from hyperinflation and taxes next year anyway, might as well break out the pain stick early and let them bankrupt/cleanup, deal with the blow to the economy NOW, so we’ll be that much more ahead of the next wave of crashes.

sadly, it looks like the car-bailout is just a little side show for us peons debate over and politicians to gloat/point fingers over. -it’s going to happen, one way or the other.
-otherwise the banks would lose even more, not to mention more loan fraud exposed in the way of car loans made to people that could never afford them.
(who the F is OKaying all these loans??)

-there is a reason the banks (Fed included) are never taken to task in front of congress or the public.

note this snippet from Bloomberg News as reported in August..
—
…”A default by one of the automakers would trigger writedowns and losses in the $1.2 trillion market for collateralized debt obligations that pool derivatives linked to corporate debt… Credit-default swaps on GM and Ford were included in more than 80 percent of CDOs created before they lost their investment-grade debt rankings in 2005, according to data compiled by Standard & Poor’s.”
—

i think this means that those Auto CDO’s are bundled in *the same* toxic securites/derivitives held by the recently bailed out companies like fan-mae as moratge debt..

if you let those trigger, the losses in “fake”/synthetic CDOs will be huge.

-no doubt, it would result in more in-house bank-fraud being exposed, -before it’s time, i’m sure.

imo, all this “political theater” is merely to entertain and distract us while the guts of the illusion take place.

-anyway, the bailout will go through soon enough, esp since we have 2.99 houses of democrats applying major pressure to save their beloved union(s)

-s