Comments on: The Auto Alliance Explains Why Big 3 Rescue Is Necessary http://donklephant.com/2008/11/17/the-auto-alliance-explains-why-big-3-rescue-is-necessary/ Big Teeth. Huge Ass. Surprisingly Reasonable. Sun, 08 Nov 2009 22:35:23 -0800 http://wordpress.org/?v=2.8.4 hourly 1 By: Jimmy the Dhimmi http://donklephant.com/2008/11/17/the-auto-alliance-explains-why-big-3-rescue-is-necessary/comment-page-1/#comment-425275 Jimmy the Dhimmi Wed, 19 Nov 2008 19:05:39 +0000 http://donklephant.com/?p=11059#comment-425275 Lets give them 25 billion dollars, but god forbid we lower their taxes. Lets give them 25 billion dollars, but god forbid we lower their taxes.

]]> By: Mike http://donklephant.com/2008/11/17/the-auto-alliance-explains-why-big-3-rescue-is-necessary/comment-page-1/#comment-425075 Mike Tue, 18 Nov 2008 04:22:53 +0000 http://donklephant.com/?p=11059#comment-425075 Good question Dave. Here's my issue: Some say that $25 billion won't solve the companies' problems because they haven't resolved the reasons why their companies are failing. If that's true than throwing money at them isn't going to fix them, or save any jobs. Others say the car companies have seen the errors of their ways and are now coming out with fuel efficient cars and renegotiating labor contracts, so they just need a little help to get through this tought time. If that's the case, they should make that case to investors, just like any other company. If investors aren't willing to take the risk on them, why should the taxpayers? Good question Dave.

Here’s my issue:

Some say that $25 billion won’t solve the companies’ problems because they haven’t resolved the reasons why their companies are failing. If that’s true than throwing money at them isn’t going to fix them, or save any jobs.

Others say the car companies have seen the errors of their ways and are now coming out with fuel efficient cars and renegotiating labor contracts, so they just need a little help to get through this tought time. If that’s the case, they should make that case to investors, just like any other company. If investors aren’t willing to take the risk on them, why should the taxpayers?

]]> By: Dave Schuler http://donklephant.com/2008/11/17/the-auto-alliance-explains-why-big-3-rescue-is-necessary/comment-page-1/#comment-425058 Dave Schuler Tue, 18 Nov 2008 00:05:59 +0000 http://donklephant.com/?p=11059#comment-425058 Interesting. Wish I had been there. If I had been there, here's the question I would have asked: <blockquote> At the rate the Big 3 are blowing through money right now, $25 billion is about a year's operating expenses. Does GM have a business plan that shows how it will get into the black in a year? </blockquote> If the answer is “Yes”, I'd have wanted to know what it was. That's what the U. S. asked from Chrysler and got 25 years ago. If the answer is “No”, I'd ask where they plan to get the money to go on. Interesting. Wish I had been there.

If I had been there, here’s the question I would have asked:

At the rate the Big 3 are blowing through money right now, $25 billion is about a year’s operating expenses. Does GM have a business plan that shows how it will get into the black in a year?

If the answer is “Yes”, I’d have wanted to know what it was. That’s what the U. S. asked from Chrysler and got 25 years ago. If the answer is “No”, I’d ask where they plan to get the money to go on.

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