Bailout Madness

They're back!

Ford, GM, and Chrysler returned to Washington, DC yesterday. They came not as brash and cocky CEOs, but more as penitents who had learned a lesson in how to beg for a bailout.

Instead of high-priced corporate jets, they drove to DC in allegedly fuel-efficient cars. They claimed they would also be driving home. I wonder how far out of Washington they got before ditching the cars for the corporate jet.

They came, hat in hand, asking for an additional $35 billion. That's on top of the $25 billion that was carved out of the TARP -- remember that money that was supposed to help homeowners who were in danger of losing their homes, but which has not yet made its way there.

GM said it would settle for a measly $4 billion now. Otherwise, it'd have to lock its doors on December 31.

Wahhh!

Come Jan. 31 they'd need more money. They are burning through $2 billion a MONTH now. They lose $1,500 on every car they manufacture. Not sell -- MANUFACTURE.

Their cars roll off the factory floor onto the truck to a dealer at a LOSS. This doesn't count the drastic markdowns the dealers are making to try to get their aging inventory off their lots.

Today the question was finally asked that had been on everyone's mind: Would it help the Big 3 if the federal gov't. were to take over their medical and pension benefits plans?

Well, duh! Why not just take over the whole industry! Everyone can see what an incredible job the federal gov't. has done managing such programs as Social Security, Medicare, Amtrak among others. I'm sure the genuises in Washington could handle managing the Big 3 just as well.

Some want to attach strings to the Big 3 bailout. Well, at least they learned something from the $700 billion gaffe they recently passed. Sadly, any oversight of the Big 3 would simply create more government requiring more spending requiring more of OUR money. Sounds like a winning plan to me. Not!

The Big 3 have had decades to revamp, restructure, retool and rethink. Instead they surrendered repeatedly to the unions which ran them into the ground with increasing wages, benefits, unemployment and pension programs. Now the unions are saying they might be willing to make some concessions. Thanks, but no thanks.

Allow the Big 3 to pre-arrange a bankruptcy so that under court protection and supervision they can do what they should have done 2 or 3 decades ago.

It's time to end the bailout madness once and for all. Continuing it will only delay the inevitable and extend the recession. It needs to stop now.