The Surge Worked- Now Admit the GM thing is Looking Good...

[CampCreekLou]

Perhaps my post was premature. Time will tell but so far so good from what I am seeing.

What is important is what we don't see, one of moral hazard.

Ford played by the rules, and should be dominant in the market. Too bad for them! How about the government propping up your competitor...

Crony Capitalism <> Capitalism

 

[AndrewG]

Unions got a sweetheart of a deal. Didn't work out to well for bondholders.

Will they start producing quality vehicles people want at a good value will determine success. Success is ultimately financial independence.

 

[walk the walk]

I opposed the surge. It seems it worked. And while I will always believe invading Iraq was a major mistake of George Bush's, I acknowledge that he made the right call on the surge.

So-

How's about some resident righties step up and acknowledge that the GM bailout was less of a socialist takeover and more of what appears to be a wise move on Obama's part and a success story in the making for Americans in an otherwise brutal economic period.

Obama Hails G.M. 'Success Story' - NYTimes.com

Shopper? Idlewind? Andy? Walk the Walk?

I applaud anyone that can say they were wrong,especially publicly.I can and have and continue to do so,it's called integrity and class.Obama cannot do this,I would respect him more if he did.
The unions did get a sunshine of a deal and thats part of the problem with American autos(I say that because I love my Chevrolet trucks) but Japan makes quality automobiles for a fraction of American made.Why? No unions.
Japanese maunfacture autos for around $20. per hour,where U.S. made autos cost more than $70. per hour.(Unions).

 

[Bob]

What is important is what we don't see, one of moral hazard.

Ford played by the rules, and should be dominant in the market. Too bad for them! How about the government propping up your competitor...

Crony Capitalism <> Capitalism

Ford Takes $5.9 Billion Government Loan Ford Takes $5.9 Billion Government Loan | Print | E-mail
Written by Thomas R. Eddlem
Thursday, 25 June 2009 10:00 Ford Motor Company was supposed to be the only major U.S. automaker not in need of a bailout, but this week Ford accepted a $5.9 billion loan subsidy under the Energy Independence and Security Act of 2007 (EISA). The EISA loan is designed to help the auto industry by supporting ?capital investments in facilities designed to produce vehicles with greater fuel efficiency and reduced emissions.?

It?s not a ?bailout,? Ford executives would likely argue, on the basis that the money is a loan. But would Ford have been able to obtain the same amount of money and the same interest rate in the free market? To what extent is the loan (the difference between the government-provided loan and what the free market would offer) a subsidy? Undoubtedly, a $5.4 billion infusion of cash from already tapped-out taxpayers for doing what Ford was presumably already doing with their business model won't hurt their cash flow. And coming in a tough year for the auto industry, it was probably even more welcomed. so..... Ford mortgaged everything they could while the credit markets were functioning, and took from the Feds too

 

[beachFool]

Unions got a sweetheart of a deal. Didn't work out to well for bondholders.

Will they start producing quality vehicles people want at a good value will determine success. Success is ultimately financial independence.

Not exactly.

Since bondholders are in higher the debt structure at least they got something.

The Revenge Of The GM Bondholders | The Truth About Cars

That's more than stockholders got.

So what if they lost...that's capitalism. Anyone buying a 20 or 30 year GM bond in the last 10 years was taking a big risk.

 

[AndrewG]

Not exactly.

Since bondholders are in higher the debt structure at least they got something.

The Revenge Of The GM Bondholders | The Truth About Cars

That's more than stockholders got.

So what if they lost...that's capitalism. Anyone buying a 20 or 30 year GM bond in the last 10 years was taking a big risk.

Capitalism wasn't at play here.

 

[Geo]

Capitalism wasn't at play here.

That's how I feel about the current state of our country. The largest corporations and the wealthiest individuals are manipulating the populace and our elected officials into making them bigger and wealthier.

It seems that the people who stand the most to benefit from reform are being duped into fighting against it.

 

[AndrewG]

GM stock is lower than the IPO now. Not shaping up to be a good move.

 

[idlewind]

Geo:

There should never have been a surge because we never should have invaded Iraq, We invested far too much blood and treasure with little to show for it. So tactically the surge was a success but strategically the war was a failure.

There should never have been a repayment of bailout money from GM because there never should have been a bailout. Too much treasure invested with too little to show for it. Short-term ok, long-term disaster.

The costs of these two mistakes will haunt our children and grandchildren.

 

[LuciferSam]

GM stock is lower than the IPO now. Not shaping up to be a good move.

It's a great time to buy.