All GM has to do is..

Did USC call it or not? Listen to uscitizen you should.
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Fed grants GMAC ability to seek bailout funds

Dec 24, 8:23 PM (ET)

By MARTIN CRUTSINGER


WASHINGTON (AP) - The Federal Reserve gave an early Christmas present to General Motors' finance arm, allowing the ailing provider of auto loans to qualify for the government's $700 billion rescue fund.

The Fed announced late Wednesday that it had approved GMAC Financial Services' request to become a bank holding company.

http://apnews.myway.com/article/20081225/D959E31O1.html
 
Naaw they can move their manufacturing offshore to break the unions.
It worked for the textile and furniture industry.
 
I am no fan of unions. But the idea that GM needs to find a way to avoid paying the pensions that they promised is simply wrong.

When GM agreed to provide those pensions, they didn't say "if we make a profit" or "if business is good".

They agreed to pay the pensions. To do otherwise is a criminal act.
 
Solitary said:
I am no fan of unions. But the idea that GM needs to find a way to avoid paying the pensions that they promised is simply wrong.

When GM agreed to provide those pensions, they didn't say "if we make a profit" or "if business is good".

They agreed to pay the pensions. To do otherwise is a criminal act.
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Yes, I guess the shareholders of GM will just have to ante up the money.
 
uscitizen said:
As they should. The GM corporation made the deal and should have to honor it.
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The deal was based on projections of growth that never happened. They never happened because of the poor quality workmanship which is totally the fault of the union.

The union refuses responsibility yet insist on the rewards. Let them pay the pensions.
 
Southern Man said:
The deal was based on projections of growth that never happened. They never happened because of the poor quality workmanship which is totally the fault of the union.

The union refuses responsibility yet insist on the rewards. Let them pay the pensions.
Click to expand...

GM signed contracts agreeing to the pensions. There was no mention of projections of growth. There was nothing beyond the standard QA measures in place.

This is not a matter of whether you are pro-union or not. This is a matter of the rule of law and a signed contract.
 
Besides, the big 3 are not in trouble because of quality issues. They are in trouble because of their ignoring the needs of the public.
 
Solitary said:
GM signed contracts agreeing to the pensions. There was no mention of projections of growth. There was nothing beyond the standard QA measures in place.

This is not a matter of whether you are pro-union or not. This is a matter of the rule of law and a signed contract.
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I don't know the details of the contract and I'm not sure that you do either. Regardless, implied is that the employees will produce quality and that the company will therefore grow. Neither happened, and those are facts. Also a fact is that a bankruptcy negates past obligations.

The correct term for the auto bailout is the union bailout.
 
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