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View Full Version : Obama planning to announce Chrysler bankruptcy tomorrow


roteague
04-29-2009, 04:46 PM
Autoblog is reporting Chrysler will go into Chapter 11 tomorrow.

"According to a report by Bloomberg citing the usual unnamed sources, President Obama will announce tomorrow that Chrysler will file for Chapter 11 bankruptcy while continuing to work on its alliance with Fiat."

http://www.autoblog.com/2009/04/29/report-obama-planning-to-announce-chrysler-bankruptcy-tomorrow/

Meanwhile:

Japanese Suppliers First in Line for Auto Supplier Bailout

"Two Japanese auto-parts suppliers appear to be the first to ask the U.S. Treasury for some of the bailout funds set aside for auto suppliers,"

http://industry.bnet.com/auto/10001269/report-japanese-suppliers-first-in-line-for-auto-supplier-bailout/

Ned
04-29-2009, 04:48 PM
Where is Lee Iacocca when you need him?

roteague
04-29-2009, 05:03 PM
The government is running the auto industry now ....

jfrenaye
04-29-2009, 05:55 PM
Man it used to be the companies themselves and their executives that would make a decision and an announcement such as that.

I am glad I have an unlisted number, he might announce me the day after tomorrow!

Loonbeam
04-29-2009, 08:39 PM
The truly interesting aspect of what I am hearing is that it is entirely possibly that after the various transactions occur, the employees/union will own a large portion of the company...

katroa
04-30-2009, 06:37 AM
John , you beat me to it..I was thinking the same thing. Why is Obama front and center of EVERYTHING in this country? I'd like to see HRC every now and then..or even Rahm Emmanuel . Obama announces everything. Why is he announcing the bankruptcy?...I guess the government figures if they bailed them out, they can close them down , too. Exactly what the plan was all along, IMO.

BYOFT
04-30-2009, 07:51 AM
Did you watch Obama's press conference last night? Near the end, he said something like he would be happy to have all these bank/automobile issues off his plate. I can't paraphrase exactly what he said, but if was a good, and quite lively, comment.

jfrenaye
04-30-2009, 09:10 AM
He said he had no interest in running carmakers and banks because he has two wars to run. If he had no interest, why the involvement.

DCTravelAgent
04-30-2009, 11:45 AM
Please John, still sore over the election. I think he was clear that he had no interest in running any particular industry and wants them to get back on their own two feet.

jfrenaye
04-30-2009, 01:05 PM
No I am not sore at all. If he had no interest, why is he demanding the resignation of Waggoner and going to announce the bankruptcy of Chrysler.

If he had no interest (and I will lump congress in this too) TARP should have never been approved as it was and Citi/GM/Chrysler/AIG et al should have been allowed to fall and let the market take care of itself

DCTravelAgent
04-30-2009, 04:04 PM
He has no interest in running the company - his interest is in saving it.

roteague
04-30-2009, 05:22 PM
He has no interest in running the company - his interest is in saving it.

That may be so, but the people he chose as his advisors showed how little they understand about how the auto industry works by their "dumb" report.

What I'm afraid of is that the government will get in the business of determining products and product plans. For example, one of the items from President Obama's press conference:


Fiat's got goals Remaining 15% of company will be distributed to Fiat in three 5% increments for meeting the following goals: creating U.S.-built 40-mpg vehicle platform, providing a U.S.-built fuel-efficient engine family and giving Chrysler access to global distribution network.
Regardless whether this goal is a good one or not, it will fail if the market doesn't want it --- BTW, full size truck sales are up again.

http://www.autoblog.com/2009/04/30/breakdown-of-chryslers-big-day-w-poll/

pezmanffx
04-30-2009, 09:41 PM
The way I read it is that if Citi/GM/Chrysler/AIG were allowed to fail, we would be looking at something far worse than the great depression. I actually think that TARP, while not perfect, has had and will have a significant impact on preventing things from becoming a lot worse than they are.

Truck sales up? Geez. Do you really need a Suburban to take 2 kids to a scoccar match? Or like the guy in my office building that drives an F350 quad cab to work every day and he''s an accountant.