Bush considering "orderly" auto bankruptcy

Discussion in 'American Cars' started by ETB4U, Dec 18, 2008.

  1. By JENNIFER LOVEN, AP White House Correspondent



    WASHINGTON – The Bush administration is seriously considering "orderly" bankruptcy as a way of dealing with the desperately ailing U.S. auto industry.

    White House press secretary Dana Perino said Thursday, "There's an orderly way to do bankruptcies that provides for more of a soft landing. I think that's what we would be talking about."

    President George W. Bush, asked about an auto rescue plan during an appearance before a private group, said he hadn't decided what he would do.

    But he, like Perino, spoke of the idea of bankruptcies organized by the federal government as a possible way to go.

    "Under normal circumstances, no question bankruptcy court is the best way to work through credit and debt and restructuring," he said during a speech and question-and-answer session at the American Enterprise Institute, a conservative Washington think tank. "These aren't normal circumstances. That's the problem."

    The comments came a day after Chrysler LLC announced it was closing all its North American manufacturing plants for at least a month as it, General Motors Corp. and Ford Motor Co. await word on government action. General Motors also has been closing plants, and it and Chrysler have said they might not have enough money to pay their bills in a matter of weeks.

    Prices of GM and Ford stocks were down substantially after the White House comments Thursday. Though Ford, unlike General Motors and Chrysler, is not seeking billions of dollars in federal bailout loans, a major collapse of the other two would be expected to badly damage Ford as well.

    Bush said the auto industry is "obviously very fragile" and he is worried about what an out-and-out collapse without Washington involvement "would do to the psychology" of the markets.

    "There still is a lot of uncertainty," he said.

    At the same time, the president said anew that he is worried about "putting good money after bad," meaning taxpayer dollars shouldn't be used to prop up companies that can't survive the long term.

    He revealed one other consideration — that Barack Obama will become president in just over a month.

    "I thought about what it would be like for me to become president during this period. I believe that good policy is not to dump him a major catastrophe on his first day in office," Bush said.

    At the White House, Perino said, "The president is not going to allow a disorderly collapse of the companies. A disorderly collapse would be something very chaotic that is a shock to the system."

    She said the White House was close to a decision and emphasized there were still several possible approaches to assisting the automakers, such as short-term loans out of a $700 billion Wall Street rescue fund. Bush has resisted this approach before, and it is adamantly opposed by many Republicans.

    "It's in the spectrum of options and there are a lot of options," Perino said.

    She said one of the factors delaying an announcement on an auto rescue plan is the continuing discussion between the administration and the various sides that would have to sign on to a managed bankruptcy — entities such as labor unions and equity holders in addition to the companies themselves.

    "In any scenario that comes forward after this decision-making process, all those stakeholders are going to have to make tough decisions," she said.

    The presidential spokeswoman would not put a timetable on when an announcement would come, and suggested it may not happen this week. But something must be done, she said.

    "If you thought that our economy today could handle the collapse of the American auto industry, then you might come to the conclusion that doing nothing was an option," Perino said. "We're going to do something."
     
  2. I suspect this is PR BS. He's trying to look tough but everyone knows Bush is a softy.
     
  3. It's working. He seems to be much more competent these last few weeks/months.
     
  4. It might have worked (to get more concessions out of the unions) except Bush will be gone the next time Detroit comes back for more and there's no way Obama will get tough with the workers, let alone let the companies fail.
     
  5. hes not even prisidint!
     
  6. Well too bad they have voted in a Godless sinner as president now..

    -karl
     
  7. troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll troll



    UGH it's Tim all over again. probably the same person, actually.
     
  8. He is a muslim, and therefore anti-American in the true sense, and he is also an admitted drug user and cigarrete smoker, so he is a sinner.
    Do you care to admit that?

    Not the man I would trust for the job. Why couldn't they trust a war hero who has decades of war and political experience, but hey that is a different story!!

    I don't mean to fight, we're all friends here. I'm just stating things as they are.

    -karl
     
  9. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense. He is a muslim, and therefore anti-American in the true sense.
     
  10. karl, this is why you need to be quiet and/or stop trolling.
     
  11. YOu're not even American. What do you care?
     
  12. Wrong account hemistage.
     
  13. troll, troll, troll your boat....
     
  14. gently down the stream...
     
  15. I am a citizen of Earth, do you not care?
     
  16. New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order New World Order
     
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  18. I forgot how old this thread is.
     
  19. Haha you guys crack me up!
     

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