Quote:
Originally Posted by Excaliber
Actually, I think there is a very good chance Sears will go under in the near future, if not this year maybe next. That soon I would dare to project.
,,,come to think of it, we should bail them out, I really like their tools and if they went under it would have an immediate impact on ME! 
Had we let GM "restructure" under a lengthy bankruptcy it would have had a devastating affect on a large part of the nation. I DID favor a GM bankruptcy for awhile, screw 'em, not a stinkin' dime would I offer them. But in the end, it was not a bad plan for the Gov to hasten the bankruptcy, keep it short, let's get back to work. Had GM been left on their own they would STILL be in bankruptcy court and many many more jobs would have been lost.
...thats what I think the impact would have been on GM had we let them "fail". |
Report: Obama administration to announce $30B bailout loss
12/08/2009, 1:37 PM
By Drew Johnson
The federal government’s bailout of
General Motors
and
Chrysler was viewed as an iffy prospect from the beginning, but the latest reports indicate the United States tax payers will undoubtedly come out on the wrong side of the project.
Although many government officials promised the money used to bailout GM and
Chrysler would be repaid in full, the latest report from
The Detroit News indicates that will not be the case. The Obama administration is expected to report to Congress later on Wednesday that it will lose about $30 billion of the $82 billion loaned to GM and Chrysler earlier this year.
It remains possible that the government’s losses could narrow, but it would take an IPO far beyond what is currently expected for General Motors. The government has also pumped $13.5 billion into GMAC – the lending arm of both GM and Chrysler – but it remains to be seen if any of that money will be recouped.
Despite the bleak news, President Obama defended his decision to bailout GM and Chrysler earlier on Wednesday. “We also took steps to prevent the rapid dissolution of the American
auto industry, which faced a crisis partly of its own making, to prevent the loss of hundreds of thousands of jobs during an already fragile time,” Obama said in a speech. “These were not decisions that were popular or satisfying; these were decisions that were necessary.”
The government has already forgiven almost $12 billion in aid given to Chrysler.