http://www.puma08.com/2009/05/20/con...-billion-gift/
(snip)"For the upteenth time. The only way to make GM profitable is to remove the stranglehold the Unions have on the cost of production. A cost that adds an average $2,000 to every vehicle produced, and thus renders them more expensive than their non-union made counterparts.
Well, Obama in his infinite wisdom has decided to reward the UAW (United Auto Workers), the very people who are responsible for GMs unprofitably with outright ownership of the new company, and as icing on the cake, the $15.4 billion in loans; we the taxpayers gave GM are going to be converted into a gift.
Political payback sure is sweet.
- General Motors Corp’s (GM.N) plan for a bankruptcy filing involves a quick sale of the company’s healthy assets to a new company initially owned by the U.S. government, a source familiar with the situation said on Tuesday.
The source, who would not be named because he was not cleared to speak with the media, did not specify a purchase price. The new company is expected to honor the claims of secured lenders, possibly in full, according to the source…
…In addition,
the government would extend a credit line to the new company and forgive the bulk of the $15.4 billion in emergency loans that the U.S. has already provided to GM, the source said."(snip)
complete Reuters coverage at
http://www.reuters.com/article/merge...43363120090519
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