On Face the Nation, Bob Schieffer discussed what President Bush is going to due for the Big 3 before he leaves office. What are some of the ideas this administration has to not only safe this fledgling car companies but also to help save the state of Michigan? Be Specific!!!!!
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This week Bob Schieffer spoke with Senators Bob Corker, Carl Levin and Sherrod Brown about the situation with the big 3 bailout and what the Bush administration is planning to do. The plan isn't to make pay cuts. Senator Corker says that the Bush administration wants the big 3 to be "competitive" with Honda, Nissan, Toyota, and BMW. Later on, he spoke about the expected size of the bailout, claiming that it should be around $14 billion dollars. One specific detail he mentioned that could be in listed in the bailout was that if the bond holders don't agree to take in 30 cents to the dollar by March 31st, they must file bankrupt, and if labor and management can't confirm that they can be competetive by March 31st, they must file bankruptcy. On the other hand, Levin spoke about how the Republican leaders don't agree with wages and benefits being "competitive". They want them to be equal, and that is why there is a big disagreement. Senator Brown says that he thinks the White House will cram down on creditors, serious requirements will be put on the industry, and sacrifices will be shared equally.
To be quite honest, I thought this week's Face the Nation was lame and uninteresting. I didn't take away anything special from watching this. The only significant thing I heard was that the administration is PLANNING on implementing this bailout plan of $14 billion dollars, which MAY require "competetive wages" and bankruptcy if they can't confirm that they'll be competetive by a "date certain". There were too many uncertainties in this interview. None of the information was for sure. Even when referring to the size of the bailout, Senator Coker said he THINKS it'll be AROUND $14 billion. There were no solid comments like "IT IS" or "IT WILL" be. I've heard a lot of different numbers and ideas these past few weeks. Its getting rather annoying to be honest. Sorry. I don't want to hear about what people might do; I want to hear what they will do. It seems like we haven't made much progresion at all with this bailout plan, but I'll keep watching my share of C-SPAN and what not to see how this all pans out.
On Face The Nation, Bob Scieffer spoke to a couple of Senators. Senator Bob Corker from Tenessee felt that the auto bailout needed to have deadlines. He wanted to organize it somewhat like a chapter 11 bankruptcy. Senator Carl Levin from Michigan said that it would be iresponsible for the United states to let the auto industry collapse. He also stated that this is a nonunique case and it is happening worldwide. Even in China the government is lending money to the auto makers.
If the auto industry does get a bailout, we need to make sure that the money goes to good use. So many people are associated with the auto industry, and if we let the auto industry collapse then our economy will suffer more. Unemployment is already high, if we can afford to keep those jobs then why not.
On Face The nation this week, there were there guests. Sen. Carl Levin, D-Mich., Sen. Sherrod Brown, D-Ohio and Sen. Bob Corker, R-Tenn. The topic was what the White House is going to do to try and save the auto industry. Sen. Carl Levin said that the House bill to provide $14 billion in loans to the Big Three was acceptable to Senate Democrats and the White house, but was shot down by Republican leaders in the Senate who insisted on wage restrictions (to be specified by law) limiting auto workers to what foreign manufacturers like Nissan pay American workers. "That is what broke this deal," he said. George W. Bush doesn’t want to be known as being the President to allow the auto industry to collapse. So must likely, The White House is going to provide The Big 3 with an estimated 14 billion $.
This move by The White House is going to save The Big 3. If The Big 3 goes down there’s going to be a domino effect in the auto industry. The people who work on the cars now will lose there jobs (most of Michigan), the people who sell the cars will lose there jobs, the people who sell the parts for those cars will lose there jobs and a group I never even thought about was the former workers. Those are the people who receive a pension from GM, Ford and Chrysler. If this money that will be given to The Big 3 is in the form of loans, then I don’t see a problem. Every country that produces cars right now, is lending money to there car industries, even the Chinese’s are lending money. The money will be paid back with interest. Saving jobs at this point is crucial to a weak economy.
On face the Nation Sunday afternnon The bush administration stated "it would step in and prevent the 'precipitous collapse' of the U.S. auto industry and the disastrous national economic impact of the hundreds of thousands of job losses sure to follow." Secretary Dana Perino said they would look at options such as TARP to help the fall of the automobile industry. you stresses the fact that the ecnonmy is already at a terrible state and if the auto industry fails it would only weaken our already weak ecnonmy. She sya that would be even worse therefore they need to help the industry. TARP is is the $700 billion Troubled Assets Recovery Program, the financial industry bailout plan enacted in October. 350 billion was already put to the banks and stocks to help recovery their crash. What remains of the first installment is about $15 billion.
Michigan Rep. Thaddeus McCotter, a conservative Republican from a state where Ford, GM and Chrysler are headquartered, said, "With the legislative opportunities now exhausted, I urge the president of the United States to immediately release Wall Street TARP funds to the domestic automakers to avoid their impending bankruptcy and its consequent devastation of working families and the depression of our American economy." Like a week ago it was reported that the loss of 533,000 jobs in November, the worst monthly showing in more than 30 years. The white house democrats agreed to a $14billion for a shortterm help for the industry, after passing the house it was stopped at the senate saying it wouldnt go far enought. A lot of the southern sentors opposing it have foreign auto companies in thier homestates. Many congressional Republicans and some economists said the companies would be best to have a prearranged bankruptcy that would allow them to get back on their feet quickly. Democrats oppose saying that it will only back fire in the long no one will buy cars from a bankrupt car company. what are we going to do ?
The Bush Administration has declared that they would step in and stop the rapid demise of the auto industry. Their plan involves dipping their hands into the TARP. The TARP is worth 700 billion, and the first 350 billion was dedicated to the bail out the banks and insurance companies. With about 15 billion of that 350 left, and 15 being what the auto makers need, Team Bush might give the automakers that 15 billion. Also, the Bush Administration might appoint someone to advise the automaker's loans and make sure they turn into competitive companies. The employees have been urged to take lower wages as well.
Any help to the auto makers would help Michigan because Michigan is the auto industry capital of the world. Ford, GM, and Chrysler are headquartered in Michigan, so the Michigan job circuit would vaporize. If one of the Big Three shut down, there could be up to 3 million job losses next year. Detroit employs nearly one million auto industry workers, so many families could be devastated along with the economy.
By no means does the Bush Administration mean to allow any of the Big 3 auto makers to collapse, and file bankruptcy. The Bush Administration plans to discuss funding with company officials, and review finance sheets. As well, they plan to place requirements on these auto makers as to prevent something of this nature from reoccurring. The administration did not disclose the details of these requirements, but they were mentioned.
The bailout for the Big 3 is said to be in the approximate range of $14 billion. The state of Michigan is not the only state that will be hit hard as a result of this, shareholders around the country, and around the world will feel the ramifications of this. Shareholders are urged to accept 30 cents on the dollar in exchange for their shares in the companies. If these terms are not accepted by March 31st, these corporations will be obliged to file bankruptcy.
On this week Face the Nation the topic on the auto industry continues and discusses what the current President George W. Bush promises on securing the thousands of jobs linked with the big 3 auto makers. It’s apparent how important the auto industry is to the United State of America and how the collapse would be disastrous. With a lot being depended on the auto industry Democratic Senator Sherrod Brown from Ohio said, “I don’t think the White House wants bankruptcy at one of the big three auto makers as part their legacy.” Also supports such as, “Even the Chinese auto industry is asking the Chinese government for loans” is brought up. Altogether it’s definite that a bailout plan for the auto industry is the right, and important thing to do.
Well again I’m still firm about not bailing out auto industry. I didn’t realize how many jobs are at stakes with the possibility of bankruptcy with the automakers till I watched the show, however other sources turn my back on the bail out. What happen to the bonus given to the CEO? Can President Bush really say he will not see the auto industry collapse when he’s time in White House is running short? Even with the bail out I feel as though it’s a temporary life savor because American citizens don’t show interest in General Motors, Chrysler and Ford. Competition is rough between other countries and can the big 3 auto industry hold up? At the end I’m always running in circles, lets just bail out the auto industry, monitor their activities, make sure profit is being made and that the money put into saving them didn’t go to waste. If in a few years from now things didn’t seem to improve I’m going to packing my bags, see ya.
Re: Matt
Your right, any help to the auto industry in Michigan is help to the workers. If one of The Big 3 goes bankrupt then the number of jobs lost is going to hurt our weak economy. The govt. should be doing everything they can to try and save The Big 3.
Re: Richele
Im not sure where you stand on the subject of giving a bail out. First you say "Well again I’m still firm about not bailing out auto industry", then you say "I didn’t realize how many jobs are at stakes with the possibility of bankruptcy with the automakers till I watched the show". If you could clear it up for me. The importance of givin the auto industry a bail out is to try and save The Big 3 and save Michigan. Now I know the management of The Big 3 hasnt been the best, and I think that the government should tell them to step down in order for a bail out to be given.
On Face the Nation this week Bob Schieffer. He spoke with three people, Carl Levin, Sherrod Brown, and Bob Croker. In the show they talked about several issues. The main one was about the auto industry and the bailout. Senator Croker said the auto companies should of stay competitive with other car companies rather than doing what they did. Croker said that the two people involved in trying to fix all these situations have everything under control. On the other hand Carl Levin said that the situations that Croker is doing are unacceptable, for example saying that situations should stay competitive. Clearly he says that the republicans leaders don't agree with such things. When Bob Schieffer spoke to Senator Brown, he explains that the White House doesn't want to leave a chaos behind. Croker explains that the bailout should be $14 billion, or else labor and management will go bankruptcy.
I believe that the White House is going to Save the auto companies. If these companies goes down, there will be a big impact on such things. As much as people don't want to admit that we don't need such companies, I truly believe we do, because a lot of people work in these companies, plenty of workers will loose their jobs, making everything to become worse.
TRAVIS:
I agreed with you when you said that the move on the White House will have an impact and ultimately they are the people who are going to save the BIG 3. Most of the people working for car corporations will end up loosing their jobs because the companies are not capable of paying them. Saving jobs is an essential need from everything that is happening.
LEO:
I didn't think this week's face the Nation was uninteresting. I think we saw another side that we haven't seen in the previous months. If we don't fix the problems now, eventually they will carry on making things worse. But I also see where you are coming from, when you say they don't have accurate numbers, like the bailout deal. We all need to hear what is going to be done rather than just listening to estimated numbers.
re: leo
i would definitely have to disagree with you :]] this is a huge crisis although it wasnt a really "crackin" episode it was very informing. I find it interesting that you could use a term such as 'lame' when it comes to a situation that clearly can make or break your future living quality. This is something we all need to be informed of and we need to be concerned about because it is very important to each and everyone of us. although this ecnonmic crash may not be effecting you personally at the time its destroying are country as a whole ! and we're all real americans right ! :]]
re: travis
i agree with you but not completely.. i do believe if this move follows through it will help the big 3 but if there isnt better management put in to play none of the help will pay off. i think we need to take more on effect of that situation because if we do help them and the poor management continues whos to say we wont be in this situation again in the near future.
Re: Leo
I agree with you on the shows VERY slow appeal. I am tired of hearing... MAYBE the administration is PLANNING such a bailout. If you ask me I just want the facts.
Re: Matt
I understand how much importance the big three has within the auto industry. But I am very tired of us having to bailout irresponsible decisions made by the so called "educated elite". 3 million jobs are held by EACH of the BIG three. But the decisions the few CEOS of these companies make, affect ALL of us.
RE: Jessica
I agree with what you are saying. We shouln't just blindly hand out money to the auto industry, but we also cant let them collapse. To many americans have already lost their jobs, and refusing to help the auto indusrty will just create a higher unemployment rate. I think that congress should recieve a detailed plan and outline of how the money will be spent.
RE: Jessica
I agree that if there is an auto bailout, that money needs to be used responsibly and correctly. Obama has pointed out that the taxpayers should not and will not have to pay for this twice. I personally would be very angry if my portion of the bailout was basically thrown away.
RE: Yesenia
I don't know if you're agreeing or disagreeing with me. I never advocated a bailout, I just pointed out the facts. And I know that 3 million jobs are held by EACH company, because I said that. Obviously Michigan isn't the only state that will be affected, because Michigan isn't the only state with one of those dealerships.
RE: Richele
I see where you are coming from on not supporting the bail out, but I don't think you see the problem that letting these auto industries fail will cause. The unemployment rates will go up, we will cease to be competitive in the trade market, and the economic crisis is just going to get worse. But I like your point of view, and your statements do make me wonder where did the money given to the CEO's go, and will Bush be able to accomplish anything before his term ends? I also like your plan of giving the auto companies the bailout, monitoring them, and properly distributing the earned profits.
Re: Travis
If Bush really does want to redeam himself somewhat, then he should try to help out the auto industry. As you said, there is too much at stake jobwise. My family lives in Michigan, but they are all becomming jobless one by one since this collapse in the industry. I dont know how this "plan" is going to work out, but it is too great of a risk to the American people to not help out.
RE: Jasmine
I can see where you're coming from. This is definately a crucial issue for our country, and I understand that. It should definately be a concern for all of us. What I was trying to get at was all of the uncertainties that are getting media attention. Yes, there was information in this episode, but it wasn't very assuring to me. The use of all the "maybes" and other eloquent ways of saying "I'm not sure" just doesn't cut it for me. But that's just me. I totally understand what you mean though. For me, it was the conversation on the show that was lame, not the issue.
Re: Jasmine
Your right about the new management needed for The Big 3 and that is something I left out. It was obvious that new management was needed when they showed up on capital hill asking for tax payer money arriving by there private jets. The problem is, we cant ignore this major problem, because if any one of The Big 3 goes down, the unemployment rate is going to skyrocket.
NO SCHOOL TOMORROW!!!!!!!!!!!!!!
Re: Matt
I agree that this bailout may be necessary, and if it is it should be enacted. Yet, i believe with the approximate 15 billion dollars that is to be alloted to the Big 3, a certain set of regulations, and consequences should be enacted as well. These restrictions, of course, are to promote productive leadership in these companies, and to prevent anything of this nature from reoccuring.
Re: Richele
I dont really understand where you're going in your second paragraph. You start it out by saying that you do not support the plans to bail out the Big 3, yet at the very end of the paragraph you say "lets just bail out the auto industry." You contradict yourself, im just wondering which end you actually stand for.
Re: Travis reply to me
I know what i said was confusing because what's going on right now is confusing. I can voice my opinion and sound like a complete idiot cause I don't want the big 3 to be bailed out, but at the same time I have sympathy for the people who will be unemployed. I wish I can have the balls to say No to one side and don't care about the consequences that might effect others, but I'm human I want everyone to be happy. I still don't understand and glad I'm not in a position to have that kind of decision on my shoulders.
Re: Jessica
I agree that of course the White House is in process of bailing out the auto industry, because jobs are at stake and if jobs are at stake so is the supply and demand in the market world. Lets just bail everything out that needs our help, no limits. I think "bailout" is a word that gives security to the people, and thats what you call a smart plan, keep people clam as long as possible, tell them a bailout will solve everything. The government needs a lot of support with all the unfortunate things that happened in the pass...
RE: Jessica
If by "another side" you are referring to seeing the Bush administration in an ATTEMPT to fix the big 3 crisis, then I see it. Other than that, I don't get it. Every news show I watch talks about the same thing when it comes to the bailout plan. Its change the management, prove that the companies can survive, prove the companies will compete (in terms of quality and wage), and give the big 3 $14 billion dollars (sometimes the number changes). Then they have some people come on and argue whether we should bail the companies out or not. That's the news about the bailout plan..in a nutshell. And on top of that, the reporters aren't even certain. These repetitive conversations and uncertain statements are what I find uninteresting, not the issue of fixing our problems now.
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