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Agreement reached in Big Three bailout, still faces opposition in the Senate

12/10/2008, 11:30 AM

By Drew Johnson

Although there is still no official word from Capitol Hill, the White House and congressional Democrats reportedly came to an agreement late last night on the $15 billion bailout plan for the Big Three. However, the deal is far from finalized, with plenty of wrinkles still to be ironed out.

According to Automotive News, the Bush administration and congressional Democrats have reached an agreement in principle, although the measure could still be stopped by Republicans in the Senate.

The tentative agreement includes the naming of a ‘car czar’ – a presidentially selected trustee to oversee the automakers’ operations – and making the government the biggest shareholder of the Big Three.

The car czar would not only be responsible for overseeing the Big Three’s restructuring efforts, but would have the power to force any of the three companies into bankruptcy if turnaround plans were not seen as effective.

However, some Republicans will likely want more out of the bailout agreement. Most Republicans want more than the car czar’s power to force bankruptcy, and are looking for some kind of option for bankruptcy that would keep all parties involved – from management to labor – attentive to the government’s requests for concessions.

In addition, Chrysler’s private status is making things tricky. Senate Republicans want the power to hold Cerberus – Chrysler’s parent company — responsible for the loans in the event that Chrysler fails and defaults on the loans.

It sounds like progress is definitely being made in Washington, but with so many more details to be worked out, it makes you wonder if things will be sorted out in time for General Motors and Chrysler to avoid bankruptcy.

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12/10, 11:33 AM

posted by:

Borat

Congratulations, citizens. You refused to purchase sub par products of domestic corporations, now you will pay them to produce more of the same. Realistically, nothing shall change till 15 billions will become 150 and then doors will be shut.

12/10, 11:39 AM

posted by:

Tritonpower5.4

With the government running the show say bye bye to desirable vehicles. All they care about are treehugging 60 MPG Cars that are ugly and can run off of Tofu. Its a damn shame.

12/10, 11:50 AM

posted by:

DCG3

I want out right now…….

And to think that we just started to make cars that are desirable again, New CTS the G8, Challenger, Camaro, hell even that new mustang looks hot. get use to driving ugly cars that with eco materials and an interior that that is like sitting in a trash bag.

12/10, 11:51 AM

posted by:

allstang

http://www.leftlanenews.com/bailout-could-bring-bankruptcy-like-reorganization.html

this could be good…
The government wouldn’t completely be running the show. They would be mainly in control of financial deals not the product.

And as it says in the link ^ chapter 11 type reorganization would be possible with out actual bankruptcy which is good, because we could get rid of the stupid unions which causes the people at the factories to be paid a gagillion dollars an hour, hence less cost which means more profit.

Oh and the new cars from the big three are for the most part now better then toyota, honda, etc its just that citizens of the US don’t have faith in them. Mainly because alot of people are ignorant and just hopping on the bandwagon

12/10, 11:55 AM

posted by:

ltbullitt

It blows my mind tthat we give $700billion to banks who create no actual product. Banks take your money and lend out up to 10x the amount they actually posses and make money off money they dont even have, but we scruntize American auto makers for when they need a hand if it wasnt for the recession GGM and Ford would be fine. GM has been on the right track for the last 3 years and Ford is finally changing their line up for the better

12/10, 12:09 PM

posted by:

DCG3

By the way IMO all of this eco car crap is the F**KING prius’s fault…. when in doubt blame the blame those eco friendly A**holes and there beloved prius oh and FACT: the pollution created by manufacturing a prius (mostly due to its battery production) is greater than that of production and driving of one year of most other cars ie. the majority of cars on the road and thats just to make the damn thing not counting in driving it!!!

12/10, 12:11 PM

posted by:

Z06ified

Not only that, but they gave $700 billion to banks with no questions asked! There was none of this interrogation, grilling, beheading, and other nonsense they are going through with the automakers for their paltry $15 billion LOAN (not grant or equity).

12/10, 12:11 PM

posted by:

RaineMan

So… when can I get my bailout?

12/10, 12:11 PM

posted by:

allstang

haha agree

12/10, 12:12 PM

posted by:

mayer_ray_nagin

Time for the UAW to kiss some GOP butt. Next time they’ll be more careful about whom they diss.

12/10, 12:13 PM

posted by:

tripleonefive

Carsfrom the big three are for the most part now better then toyota, honda, etc
LOL Please prove this statement

12/10, 12:19 PM

posted by:

allstang

ok do you want me to prove it in performance, mileage, or longevity?

12/10, 12:38 PM

posted by:

tripleonefive

All three
Then in resale and reliability Using the New cars
1 There is no factual evidence to prove that D3 is making better cars than Toyota or Honda JD powers and CR initial reports dont mean **** and are not longer than 3 years when a car is not typically going to break down NADA and KBB are reliable sources that are used by the US govt in court cases to evaluate the value of a car In NADA and KBB the cars witht he best resale are Honda and Toyota when they are compared to the D3
2 People have lost faith in D3 bc D3 have make ****ty cars with poor resale and that are not reliable. The new cars that d3 have out now arent able to stand the test simply bc they havent been out long enough to prove they are reliable In 10-15 years they can prove that but now they are crap just like they have always made
3 Mileage ….Prius New Honda Civic Hybrid vs ??? D3 is still hoping on the Volt lol The midsize D3 hybrids get 1 MPG better than the gas engine and please dont bring some D3 car thats coming out bc that isnt proven either and Ill just throw the new Honda Insight and new Toyota Prius at you. Use solid proven evidence and dont use your feeling about this corrupt democracy or any other bs
Please show and tell

12/10, 12:44 PM

posted by:

mayer_ray_nagin

Allstang, don’t waste time on 1115. He is like a Britney Spears fan – you’ll never convince him that he doesn’t have a clue.

12/10, 12:47 PM

posted by:

tripleonefive

From an idiot who couldnt disprove my point lol Keep bringing it

12/10, 12:53 PM

posted by:

DCG3

mayer, always with a good point. and not to mention 1115 is a prius lover

12/10, 12:53 PM

posted by:

mayer_ray_nagin

You have no point. You are a parrot. “reliability, resale, polly wanna cracker”

Keep feeding Britney. When you turn 16 in 2014 maybe you’ll get some taste and a clue.

12/10, 12:59 PM

posted by:

tripleonefive

Im sure you know about 16 year olds and britney you perv. If you can disprove my point that no one has been or will be able to then you may speak otherwise keep watching your movie from Russia

12/10, 12:59 PM

posted by:

A4

hahahahahaha toyota SUCKS

12/10, 1:01 PM

posted by:

A4

and as i recall the new fusion hybrid gets 5mpg better than a camry hybrid? and doesnt look like it was designed by a pokemon either.

12/10, 1:05 PM

posted by:

tripleonefive

Yea i should take a chance on a FORD than buy a proven reliable Toyota and those figures arent proven yet but you know what is THE PRIUS figures and that FOMOCO is using Toyota;s old technology lol
D3 suck Ignition coil

12/10, 1:05 PM

posted by:

SRT-10

I can’t believe that you are actually fighting for toyota or honda… I remmeber pearl harbor do you?

12/10, 1:07 PM

posted by:

tripleonefive

ALso one cant beleive anything that Ford says bc they lie in their commercials From testing an AWD Fusion fully loaded vs the lowest model Camry or sayoing that they have “unsurpassed quality’ lol

12/10, 1:07 PM

posted by:

DCG3

Todays half time score 1115 and the eco hippies ( 0 ) US who enjoy automobiles ( 1 )

12/10, 1:16 PM

posted by:

tripleonefive

DCG3 must have called in “Gay” today lts a disease !

12/10, 1:28 PM

posted by:

Blakkarr

Should be looking at this in three separate cases instead of all as one.

12/10, 1:58 PM

posted by:

mayer_ray_nagin

Actually, 1115, you need to prove your point. Nobody needs to disprove anything.

12/10, 2:16 PM

posted by:

Architect

Hey tripleonefive – check your sources. Toyota did NOT give ANY technology to Ford – there was NO exchange of information. Toyota got wind of Ford’s planned system/technology, argued that Ford’s system encroached upon their patents, and Ford agreed to a settlement/payment in order to avoid any lawsuits or claims. Your assertion that Ford is using Toyota’s technology is, unfortunately, a common misconception.

12/10, 2:21 PM

posted by:

DCG3

0 – 2 car guys in the lead

12/10, 2:31 PM

posted by:

bigjimid

1115, I’m gonna have to agree with mayer here, you first have to make a truth or correct statement in order for someone to disprove it. Sorry bub.

12/10, 2:40 PM

posted by:

tripleonefive

lol LLN is blocking me again I love it

12/10, 4:12 PM

posted by:

allstang

Im not mentioning jd idiots dont worry im proving you wrong with facts that actually do exist, the ones you are to ignorant to realize exist

Mileage – Plenty of details have emerged over the past few days since the Ford Fusion Hybrid was officially unveiled at the LA Auto Show on November 18. It’s clear that the car is squarely aimed at stealing share from the Toyota Camry Hybrid. Ford claims that the Fusion Hybrid will be more fuel efficient than the 33/34 mpg Camry Hybrid by a meaningful 6 mpg. Further, it can reach an impressive cruising speed of up to 47 miles per hour on electric power alone.
- Price: 2010 Ford Fusion Hybrid: $27,270, 2009 Toyota Camry From $26,150
The fusion as far as the hybrid goes is much better for a little bit more. However that is the starting price the options that most people will get on these cars cost a lot more on the camry.

Performance – http://www.youtube.com/watch?v=mC-PQca6FJU
i know the sticker price is different but what people actually pay for them is about the same because of the big BANDWAGON on how good the GTR is when this video along with many others disproves it

and longevity is coming dont worry

12/10, 4:41 PM

posted by:

F3INT))AP3X

Allstang that video is kind of inaccurate if you ask me, Edmunds driver’s are not renowned for their immaculate driving skills and also the tests they did were sort of stupid honestly. A dyno test between a GT-R and a ZR1 hmmm tough call, quarter mile times are irrelevant in street cars because going in a straight line on the streets is for suckers; also anyone with some knowledge on the Streets of Willow road course will tell you it is better geared for more powerful cars hence it doesn’t surprise me that a ZR1 can do a little over a second better when it has over 100 more horses at the wheels. All in all I think it is personal preference when it comes to cars like these but I must say I am tired of all the bad press on the GT-R, it really is a marvel of engineering any way you look at it because what thing can do for 80k makes you feel like an idiot if you own a 150k+ sports car.

12/10, 4:41 PM

posted by:

tripleonefive

Well you should prove the mileage thing with a current car bc the Prius trumps anything te big 3 have mileage wise
The 2010 Fusion isnt out yet and therefore not proven

Performance ? Um no performance really isnt a factor unless you are racing which most people dont but if you think that video proves something lol Ill let you think that

Prove the mileage wth a current car and then longevity with a car with an original engine not a crate engine then try your hand at the resale reliability point that no one can defeat
LOL
this is fun seeing you try

 
 
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