Big 3 Bailout on Hold: What's Good for Wall St. May Not Be Good for Automakers

NO BAILOUT - use bankruptcy to 'right size' this industry - it's overbuilt and we can't support it with artificial demand or subsidized supply. To many americans DON'T EVEN OWN american cars - we shouldn't be REQUIRED to pay for them.

BUY AMERICAN! or there will be no USA

time to buy a bicycle.

EURO ZONE IN RECESSION. A truth and bold have spoken form Europe. HOW IS THE US? HAVE YOU SPOKEN? WHY TAKE IT TOO LOOOOOOONNNNNGGG.........

Facing stiff opposition from Republicans gripped with a sudden case of fiscal conservatism, the Democrats are showing what true leadership is all about: They're abandoning plans for a bailout of U.S. automakers during a lame-duck session, the New York Times reports. Of course, it's very likely the automakers will eventually get a bailout and Sen. Banking Chairman Christopher Dodd (D-Conn.) notes Treasury already has authority to help the autmakers' finance arms, which are essentially banks (especially in the current environment.) And there's the rub. Republican leaders like Sen. Richard Shelby (R-Ala.) rightfully note the problems the Big Three find themselves in are largely "the legacy of the uncompetitive structure of its manufacturing and labor force." (Not to mention some really bad product decisions.) But will the American people really tolerate Congress giving a huge bailout to Wall Street while automakers are left to wither and die? If the Big Three fail, the Center for Automotive Research says 2.5 million jobs and $125 billion in personal income would be lost — in just the first year. OK maybe those are scare-mongering tactics and maybe bankruptcy is a better/viable option — even if turnaround expert Wilbur Ross says otherwise. But the bottom line is there's still over $400 billion left in TARP. Since Hank Paulson admitted Wednesday the fund isn't what he originally intended it to be anyway, why not use it to help the automakers? A more fundamental question: Can they survive until the new Congress and Obama administration are sworn in?

THE AUTO INDUSTRY NEEDS A BAIL OUT IF IT DOESNT GET ONE THAN WHAT,MORE UNEMPLOYMENT.MAY AS WELL MOVE TO CHINA.THE WHOLE ECONOMY NEEDS A BOOST.IT"S GOT TO GET BETTER,HOPELY SOONER NOT LATER.

The only way to save the Big Three and any other auto makers as far as that goes, re-invent the powerplant that moves the vehicle. They may want to resist, but hydrogen power vehicles are the only solution. Hydrogen is so abundant that hydrogen producing plants can be everywhere. Instead of exploration, drilling, pumping, delivering to refineries, delivering to gas stations, fuel grades and quality, changing mixture for seasons, political, weather, and the list goes on with the problems why the Big Three needs to forget about the gasoline engine.

COME ON GUYS, SAVE GM....SOMEHOW, SOMEWAY......."see..the..U.S.A.....in..your..Chevrolet"

Who cares if they are toast .... and Henry is right, it is a crock ..... they have had 30 years to get their act together. Their competition is not falling apart so what gives. Poor customer service, poor design, unions, and fuel inefficiency has caught up to them. Get your head out of your !@#$ and make a product that does not take the American consumer to the cleaners and maybe we will give a damn.

There needs to be customers to support the big three. All of the taxpayer money won’t substitute. Ask those who tried to run the USSR.

Henry and Aaron this is your best show thus far, and keep dogging the big three. Woo hoo!!!!!! Henry your right on the mark on this one.

These broken companies can't expect the american tax payer to support their broken business models, mult-million dollar salaries, over blown union wages and legacy responsbilities. When these were good, these execs to records pay and bonus INSTEAD of invest in their companies - why - because they KNEW they could go to the government and get money. If I ran my home these companies I would be living on the streets... we can't be expected to be fiscally responsible and not hold our companies to the same standard. Sorry you failed your company history and your legacy will be bankruptcy - but it happens to companies every day, this will create opportunities for new players to come into the sector. Let the free market rule. MM

Y'all must understand the current auto situation is ALSO because they tried to make what the buyers wanted. And the buyers will clamor for more big stuff when the economy rights.

How many people do you know who are dying to run out to the local Pontiac or Buick dealership to see the new 2009 models? No one I know. General Motors has been making crappy cars for years and really insulted us all by designing the same car model and re-badging it as an Oldsmobile, Pontiac, Buick, and even a Cadillac! The gig is up and game is over. They need to go bankrupt to clean the slate. Nothing will change if we bail them out . . . nothing. I wouldn't invest in GM now and I don't want my government to. And one other thing: the unions have killed the Golden Goose.

The big three auto makers can kiss my grits, I own a Toyota Camry which is far superior to midsize domestic cars. That is indisputable. The stupidity to the ancient auto companies here is embarassing. My folks always bought Chevy and eventually they bought Toyota. Ford stands for "Fix or repair daily", Dodge stands for "Dumb old damn garage experiment, and Chevrolet stands for "Corporate hog eventually veering right on lemon engineering technology"

GM will take the money and run to China. Wagner does not care about the US.

COME ON GUYS, SAVE GM...SOMEHOW, SOMEWAY...."see..the..U.S.A....in..your..Chevrolet"

how many of the "big 3" Have shipped the jobs to other countries? And then ask these same displaced workers to bail them out. How do you buy American when American cars are made in Mexico and China? Then so called import cars are being made here?

This is NOT about them not making a product they can earn a profit on this is about them losing all the capitol in the stock market and wanting it back! Look at Barclays, they had trillions in the market they were the major holder of WB, CIT, C, GE, ETC The major players who were holding stocks as cash got creamed including GM, F and Chrysler! DUH Just as this "crash" is NOT about real estate it is about Derivatives and CDO/CDS uncollateralized debts leveraged beyond belief! When Americans are finally aware of the truth it wil lbe too late to recover! See you later 401K, retirement, house.

Whats funny is the big three have been shifting manufacturing jobs out of the country to avoid UAW and help lower costs... All the while toyota, honda, nissan etc build factories in the US and employee US workers. Let them fail, you really think you can make a profit when your paying a worker $25/hr plus benefits to sweep the floor. UAW help to dig this grave. What is sad is the big three have really turned things around, and are developing some nice products. Unfortunately the damage has already been done, and a lot of americans gave up "american vehicles" many years ago.