CAR Senate fails to approve $14 billion automaker bailout.

August Burns

New Member
Oct 19, 2004
4,175
Cook County
CNN) -- Senate Democrats and the White House failed to find 60 votes to end debate on a $14 billion auto bailout bill and bring it to a vote Thursday night, killing the measure for the year. Sen. Tom Coburn, center, and other Republican senators raised objections to the auto bailout plan Wednesday.

The 52-35 vote followed the collapse of negotiations between Senate Democrats and Republicans seeking a compromise.
"We have worked and worked and we can spend all night tonight, tomorrow, Saturday, and Sunday, and we're not going to get to the finish line," Senate Majority Leader Harry Reid said on the Senate floor before the vote. "That's just the way it is. There's too much difference between the two sides."
Reid acknowledged the bill would not survive the procedural vote.
Senate Minority Leader Mitch McConnell said the sticking point was the United Auto Workers' refusal to set a "date certain" to put employees at U.S. auto manufacturers at "parity pay" with U.S. employees at foreign automakers in the United States.
Currently, analysts estimate the union workers at U.S. automakers make about $3 to $4 per hour more than the non-union U.S. employees of foreign automakers like Toyota and Honda, according to the Center for Automotive Research.
The House easily passed the bailout bill earlier this week, but it quickly ran into trouble in the Senate, where Republicans objected to several provisions. Negotiations Thursday involved a compromise proposal put forward by Sen. Bob Corker, R-Tennessee, but the senators could not reach agreement.

The collapse of negotiations could possibly doom General Motors to a bankruptcy and closure in the coming weeks, with Chrysler potentially following close behind.
While Ford Motor has more cash on hand to avoid an immediate crisis, its production could be disrupted by problems in the supplier base, as could the production of overseas automakers with U.S. plants such as Toyota Motor and Honda Motor.
The struggling automakers may get some money anyway.
As part of their effort to urge skeptical Republicans to back the deal, Bush officials made clear that if Congress didn't act, the White House would have to step in to save Detroit from collapse with funds from the Troubled Asset Relief Program, according to the sources familiar with the conversations.
One of the sources said that a White House official made it clear to a GOP senator that would be the worst option, because the loan could go to the auto companies with few or no requirements along with it.
The sources asked not to be named because of the sensitivity of private conversations.

Democrats pressed the White House from the start to help Detroit by using some of the $700 billion for the financial sector, but the White House and Treasury Secretary Henry Paulson refused.
"I would only hope that the president, who has worked so well with us for the past several weeks, would now consider using the TARP money," Reid said after Thursday night's vote.



http://www.cnn.com/2008/US/12/11/auto.bailout/index.html
 

m45

Well-Known Member
May 2, 2005
111,482
i support it purely because the consequences of these collapses on the american economy will be devastating. Look at the big picture.

We are already in a global recession.
 

deusexaethera

OT Supporter
Jan 27, 2005
18,592
What the fuck? The UAW refused to cut union workers' pay by $3.50/hr as a sacrifice to get billions of dollars to keep paying them with? What in the screaming bloody buttfuck is wrong with those people?

I hope there's riots and the UAW leaders get kidnapped and beaten to death in the street. They can't even compromise to save the jobs of their own employees. What the fuck?
 

Run N. Gun

Active Member
Aug 10, 2004
1,809
What the fuck? The UAW refused to cut union workers' pay by $3.50/hr as a sacrifice to get billions of dollars to keep paying them with? What in the screaming bloody buttfuck is wrong with those people?

I hope there's riots and the UAW leaders get kidnapped and beaten to death in the street. They can't even compromise to save the jobs of their own employees. What the fuck?


.



I don't get how UAW has any leverage right now. Maybe we let the big 3 go to bankruptcy just to get out of the contracts first, then help 'em out. No contract, no UAW, just hungry workers willing to work for a little less, but still working. There has to be a compromise, but the UAW shouldn't be part of that discussion.
 

nsxrebel

New Member
May 22, 2006
3,113
Fellas, just start getting used to the fact that all you'll be driving in the future will be Asian or European cars.
 

m45

Well-Known Member
May 2, 2005
111,482
i wonder if toyota and honda will jump to the gun to build affordable RWD v8 cars

hey, we can only hope
 

FiKtIOn

A bottle of Jack, a case of Pearl, and a pack of c
Aug 5, 2002
2,760
Dallas, Tx
our v8 cars are holdens and fords... which unfortunately will probably collapse with GM/Ford

My point was that if the Jap market decides to do RWD V8's we won't see them, we don't see hardly any of your V8 cars, I don't assume that will change whether they're made in America or not.
 

dr.zed

DR.ZED
OT Supporter
Nov 20, 2005
741
I absolutely refuse to have an Asian car.... so it looks like it'll be BMW/MB/Audi/VW here I come :sadwavey:

I had a 93 Altima. Hands down one of the best cars I owned. 280,000 kms and everything worked included the air conditioning.

Solid ride, comfortable seats, great interior. The front rad support rotted out on me... and the entire engine cradle was being held on by two bolts on ONE side... :eek4::eek4:
 

deusexaethera

OT Supporter
Jan 27, 2005
18,592
Fellas, just start getting used to the fact that all you'll be driving in the future will be Asian or European cars.
To be fair, a lot of them are built in America now. It's the fundamental problem of global economics: if foreigners buy your stuff with their foreign money, you have to spend that foreign money in their country because that's the only place on Earth it's worth anything. If they don't make anything you want to buy, what do you spend it on? In this case, they bought land and buildings and robots and employees, and now we spend our own money on things we make for ourselves -- all the Japs provide is the design and quality control. Now they don't have to figure out what to do with billions of USD that are worthless in Japan. It's actually a pretty good setup.
 

deusexaethera

OT Supporter
Jan 27, 2005
18,592
our v8 cars are holdens and fords... which unfortunately will probably collapse with GM/Ford
Nah, they'll get sold off -- or spun off into independent companies, if they can afford to buy their independence. You always sell assets to pay off debts; the courts will require them to do it.
 

deusexaethera

OT Supporter
Jan 27, 2005
18,592
I still don't understand why the government just doesn't contract a v6 hybrid for and a new crown vic platform. That seems like the best way IMO.
Because everyone wants a hybrid but nobody wants to pay for one. And besides, the cops will beat the shit out of them.

Actually, it's a great idea just because of the money shops will make off maintenance alone, not to mention the huge base of extreme-use testing the platform would get, but I doubt it will ever happen. Cops are just as hooked on large-displacement V8s as anyone else.
 

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