Saturday, December 13, 2008

White House steps in where Senate fears to tread...

I assumed when I got on the plane yesterday to fly back to Toledo from California that the automotive bailout plan for 15 billion would end up being approved, I discovered upon landing at 1:21 a.m. that didn't happen. So it was interesting reading today that the White House is going to step in and provide a temporary cash infusion.

Yet what caught my attention:

The government officials said they expected the companies and the unions would be asked to make significant concessions. They also did not rule out the prospect of a bankruptcy for one or more of the companies, but vowed that it would not be “uncontrolled,” meaning that enough financing would be provided to enable a reorganization.

I think it's fairly easy to guess which company will be the one that will go bankrupt. At least one gets that idea from this headline, GM to cut production by 250,000 vehicles . What kind of an impact it will have on the US, including my part of the nation that has GM plants is not known. It was stated earlier none of the plants slated for closure are in Ohio, but I was not sure of which plants were involved in the first temporary shut down until I found this link.

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