Edmunds.com | Inside Line | Auto Observer Your Account | Help | Directory
You are here:
![[F]](http://a332.g.akamai.net/f/332/936/12h/www.edmunds.com/media/townhall/webxicons/site.gif){kind=small}
Forums
Automotive News & Views Do You Favor A Government Loan To The Detroit 3?
3958 messages, Last post on Oct 02, 2009 at 4:52 PM
You are in the Automotive News & Views Forum. Your Hosts are steve_ & claires
|
Replying to: steve_ (Sep 13, 2008 8:41 am) Congress has authorized $25 billion in low-interest loans to retool automakers’ factories for fuel-efficient vehicles, though it hasn’t approved funding. Both presidential candidates have endorsed the plan. Meanwhile, Detroit is lobbying for a doubling of these prospective loans, to $50 billion over three years, arguing that the government has an obligation for imposing fuel-economy standards.
|
|
|
Replying to: steve_ (Sep 13, 2008 8:41 am) |
|
|
Replying to: gagrice (Sep 13, 2008 9:00 am)  They'll probably nick the taxpayers for mop & glow and pinstriping. |
|
|
|
|
Replying to: gagrice (Sep 13, 2008 9:00 am) Doesn't Honda already meet the standards or something? The point being, they could have done this long ago in the normal course of product development, but took the lazy man's path to profits instead. Let 'em go to bankruptcy court instead. Do people really think these enterprises will just disappear and strand a million working people in the Midwest? Of course not, it will just be United Airlines all over again, only hopefully with better results (as it looks like United might not make it DESPITE the reorganization).
|
|
|
Replying to: nippononly (Sep 13, 2008 9:27 am)
|
|
|
|
|
Replying to: gagrice (Sep 13, 2008 11:26 am) Toyota and Honda each have one eligible plant, I think I read. But I wonder if Toyota doesn't have the cash to revamp if it needs to without borrowing at 5%. They have enough money to build the brand new plant in Tupelo, after all. Send 'em to the bankruptcy court! These companies need some sober oversight as to how they are spending their money.
|
|
|
Replying to: nippononly (Sep 13, 2008 1:04 pm) |
|
why would honda or toyota be interested?, They have cash on hand that they need to loan out. They probably can't get a 5% return on that cash sitting idle now. They can probably borrow from their own gov't at 2% anyway. The dems like it because it keeps higher paying jobs at home. The Dems hate it because they think it will allow an overly enriched lousy mgmt team to be more so. I like it because it will provide R&D jobs in our country. Can you imagine if for the next war, we have to wait for humvees to be sent in from factories in Japan?
|
|
|
|
|
dave8697. I can just hear John McCain or Bush talking about the need to save GM at least in order for their potential warmaking implements and supplies. Oh, that is a really good point that I hadn't yet considered. There are plenty of hardcore war freaks around that will no doubt push for manufacturing facilities of an automotive nature needing to stay around, not just Boeing and Lockheed, etc., for warplanes. Those dopey Hummers just won't go away. Or will they? Hopefully? As for the loans, I think they're gonna get the 25$B at least, if not the 50$B, so this discussion may just very well be a lot of hot air filling the tires. 
|
|
|
|
|
Replying to: dave8697 (Sep 13, 2008 3:45 pm) Of course AM General, who is not likely to receive any of this windfall, will go right on building the military HumVees here in the good ol' USA. We wouldn't want to let anything hamper the American war machine. 
|
|
You are here:
Forums
Automotive News & Views Do You Favor A Government Loan To The Detroit 3?
