By Gary P Jackson
This is a rant worthy of a tent revival preacher or a late night TV pitchman, and would be hilarious if it wasn’t so devoid of reality.
Former Governor Jennifer Granholm is extolling the virtues of the auto-bailout, which has been a total disaster, as the greatest thing since sliced bread. You’ll notice early on a lady holding up a Ford sign. Ford being the one company that stayed away from the bailouts, which were nothing more than a huge payoff to union thug leaders and political patrons of the democrat party. They really weren’t an auto company bailout as much as they were a bailout of the United Auto Workers.
We all know the results. Chrysler actually went through bankruptcy and dealers had their franchises stolen from them, and a 100 years worth of contract law was ignored. Investors were screwed. The only people who made out in the entire deal were the union thugs, and Fiat, who was all but forced to take part in the deal. Everyone else involved was royally screwed.
Here’s a nice round-up of articles in one spot.
Now there is good news. For the first time since Lee Iaccoca took over a failing Chrysler, the company’s future looks bright. New products are coming and existing products freshened up. Chrysler’s so-called “marriage of equals” with Mercedes-Benz was a total disaster, and one of the stupidest business moves in quite some time. Mercedes was a drag on Chrysler and it’s poor management harmed the company. Fiat, which also owns Ferrari and Lamborghini, is a car company run by car people.
That said, the price extracted by the Obama regime has been far too high, and too many good Americans were robbed of their hard earned treasure, as Obama re-distributed the wealth in a highly illegal and immoral way.
Then there’s General Motors. In this company the Obama regime exerted the most control. The regime put their own people, non-car people, at the head of the company. Instead of focusing on it’s core business, building cars and trucks people want, and earning a profit, the regime has GM building horrible cars that no one wants. Obama and his cohorts are using GM to social engineer, instead of make a profit. Tens of billions of dollars have been wasted on the Chevy Volt. Now GM is subsidizing lease packages which will loose the company billions of dollars while pumping out useless iron. That’s on top of massive tax credits already given out by the regime.
Camaro is a big hit. The new upscale models like the ZL1 are actually testing strong against the industry standard, Ford’s Shelby Mustang. While the Shelby brings raw horsepower, Camaro’s ZL1 brings a more sophisticated chassis and handling package. Ford has a nicer fit and finish, and by far a nicer interior, but those wanting a modern day muscle car at a somewhat affordable price have that in Camaro. But you know what? It doesn’t matter. General Motors is so poorly run, and is so focused on losers like Volt, it headed towards bankruptcy once again.
The American tax payer is on the hook for $79 billion that the regime, with the help of Congress, handed out. This is money lost forever. It will never, ever be paid back, and is yet another in a long line of lessons that our lawmakers never, ever learn: Government has no business picking winners and losers. Had GM been allowed to go bankrupt, the company would have restructured itself into a leaner, meaner, more competitive business.
Sadly, there’s more. While the Obama regime was helping out it’s union thug buddies, it was destroying the lives of around 20,000 non-union Delphi workers:
As Washington rushed to nationalize the U.S. auto industry with $80 billion in taxpayer “rescue” funds and avoid contested court termination proceedings, the White House auto team schemed with Big Labor bosses to preserve UAW members’ costly pension funds by shafting their nonunion counterparts. In addition, the nonunion pensioners lost all of their health and life insurance benefits. The abused workers — most from hard-hit northeast Ohio, Michigan and neighboring states — had devoted decades of their lives as secretaries, technicians, engineers and sales employees at Delphi/GM. Some workers have watched up to 70 percent of their pensions vanish.
It is important to keep telling the story of their continuing legal nightmare because the White House keeps telling fables about the “success” of the pro-worker auto bailout. The Delphi workers are fighting Chicago-style collusion and corruption. And their most recent court battle exposes, once again, the fantasy of Obama’s commitments to real fairness and transparency.
Delphi is a parts supplier to General Motors. Michelle Malkin has more about this nightmare here.
Michelle Malkin also reports that much of the multi-billion dollar tax payer gift to General Motors has ended up in Communist China, building manufacturing facilities and training workers in that country. Also, the union thugs’ hand picked appointee to GM’s Board of Directors pushed them to hold onto the failed German Opel Division. Meanwhile GM killed off Pontiac and got rid of the very profitable Hummer Division in this country, at the regime’s behest.
So money that was supposed to be propping up American car companies, and saving American jobs, ended up in China creating Chinese jobs, and wasted on a failed business in Germany. Read more here.
And let’s not forget the regime’s idiotic “Cash for Clunkers” fiasco. The idea was to turn in good serviceable cars, in exchange for a tax payer subsidized trade in value against a new car. It didn’t have to even be a car built by an American manufacturer.
This was a disaster on so many levels. First, it took many serviceable, inexpensive cars out of circulation. This caused the price of used cars to go up considerably, making it very hard for low income people to find affordable transportation.
Worse, under the regimes insane rules, dealers were required to destroy these cars. More specifically, disable the engines and transmissions beyond repair. This means a shortage of good serviceable parts that could be used to keep older cars in service. It also means the parts still out there are more valuable. Once again, this government made things more difficult for the American people.
The democrats like Governor Granholm want you to believe the bailout was a huge success. My friends, if this is what success looks like to them, I don’t think we could stand their idea of what failure looks like!