Wagoner to Obama: D2.8's "relatively Weak Balance Sheets" Require Federal Assistance

Robert Farago
by Robert Farago
wagoner to obama d2 8s relatively weak balance sheets require federal assistance

Fresh from their closed door meeting– which included Ford CEO Alan Mulally– presidential hopeful Barack Obama and GM CEO Rick Wagoner took the stage at Carnegie Mellon University to discuss federal handouts. As reported by The Detroit News, Barack set 'em up. "How do we shape our energy future in a way that allows GM to remain competitive, keeps some of the best workers in the world on their jobs [some?] and generates profits for the company and shareholders?" GM's jeffe knocked 'em down. "Wagoner sounded a note of optimism," the DeN notes. "Noting GM's plan to introduce the plug-in hybrid Chevrolet Volt by 2010 and more advanced research on hydrogen fuel-cells. But he said the researchers developing batteries for hybrids and taking hydrogen power from the lab to the highway need federal research money. And he asked for government help to offset the high costs of newer technologies for consumers — aid that traditionally has come in the form of tax credits." "We need to provide some support to make sure these new technologies are affordable to consumers," Wagoner said. Anything else? "Wagoner suggested that the carmakers' 'relatively weak balance sheets' make it difficult for them to make the large capital investments needed to shift production lines to new vehicles." So that "we" is "we the people." As in you. And your tax dollars. To GM. To pay for them to make better cars. In case you hadn't figured that out.

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  • Vento97 Vento97 on Jun 27, 2008
    Andy D: Dear S I’m starting to think handouts are not so bad. People losing jobs may force them to work harder or not. That is all well and good, until YOU lose your job. Coming from a blue-collar upbringing myself (many moons ago), my parents emphasized education, education and education. So while the ambition of my peers only extended as far as getting that union job that will make them "set for life" (yeah, right), I had bigger goals in mind. I didn't come from money, but I made it happen via the following route: 1) Air Force - took advantage of educational/technical training - which led to: 2) Undergrad degree in Computer Science. Was hired by a good company upon graduation, then took advantage of the company's educational reimbursement program which led to: 3) Masters Degree in Software Engineering. I now work for a small, agile, company, and get paid very well. And I am currently taking advantage of their educational and training opportunities to keep my skills up-to-date. The point of all of this? Proper preparation, ambition, and long term planning will enable anyone to be in a better position to not only survive, but thrive during an economic downturn. Handouts only serve to blunt ambition, and allow the Big 2.8 companies to maintain the status quo for a few more years. These companies need to go bankrupt so they will finally be forced to change their current, inefficient ways and come out of this leaner, meaner, and stronger in the long run.

  • Morea Morea on Jun 27, 2008

    It's simple really: Michigan is a battle ground state in the fall election. Need I say more?

  • Pch101 Pch101 on Jun 27, 2008
    The point of all of this? Proper preparation, ambition, and long term planning will enable anyone to be in a better position to not only survive, but thrive during an economic downturn. Using this logic, everyone would be a software engineer (until those jobs are ultimately outsourced to developing countries at a fraction of the price), and we'd all be walking barefoot because everyone would be smart enough to avoid working in an auto plant or a shoe factory. It's to our benefit that some people are willing to do manual labor for large companies. Without such people doing nasty, repetitive work, the rest of us would suffer for it. You can't just download your food.

  • Ricky Spanish Ricky Spanish on Jun 27, 2008

    In the words of Assy McGee "F**k that noise"