Bailout Watch 147: Cerberus' Snow Job

bailout watch 147 cerberus snow job

John Snow was the U.S. Treasury Secretary under President George W. Bush, from 2003 to 2006. Snow is now drawing a paycheck– the size of which dwarfs all but GM CEO Rick Wagoner’s imagination– for shaking-down Uncle Sam on behalf of Cerberus’ Chrysler play. As you’d expect, Snow is wasting no time in pursuit of your tax money. “Cerberus Capital Management LP Chairman John Snow said Wednesday that president-elect Barack Obama and his treasury secretary need a bipartisan plan to counter the worst economic downturn in about 50 years. ‘What we need is to make sure that a vital industry like autos… which is such a big part of the overall economy, doesn’t lead us into a deeper and harsher downturn,’ Snow said in an interview on the CNBC cable channel. ‘The collapse of the auto industry at this time would be devastating for a new president.'” Note: president. Not American workers. And I’d like to take this opportunity to remind TTAC’s Best and Brightest that Cerberus claims income of over $100b per year from its various businesses. OK, right. Where were we? Changing the subject slightly, how about GM’s “welcome” to the new prez?

GM, in a statement issued Wednesday, said it welcomes Obama’s pledge to support the domestic auto industry and efforts to develop new technology. “This support comes at an especially critical time as our industry confronts one of the most difficult economic periods in our nation’s history, caused by the global financial crisis,” the statement said. “This support will enable a competitive U.S. industry to contribute significantly to our nation’s economic revival.” So where is this competitive U.S. industry then? Let’s ask Honda, shall we? [thanks to polishdon for the link]

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  • Willman Willman on Nov 06, 2008

    That GM statement is interesting; -all except the "Caused by..." part. :P Re: Volvo-Saab. Couldn't Ingvar Kamprad just go ahead and buy both of them with the spare change he has rolling around in his pockets?

  • Voice of Sweden Voice of Sweden on Nov 06, 2008
    willman : Re: Volvo-Saab. Couldn’t Ingvar Kamprad just go ahead and buy both of them with the spare change he has rolling around in his pockets? If he wanted, he could. But because of the bad tax regmise in Sweden back in the 1980's (now it's much better) Ingvar Kamprad now "lives" and pays tax in Switzerland, though spending much time in Sweden, and the entire IKEA konglomerat is owned by a foundation in the Netherlands. As I said it is much better in Sweden now, but Obama could see this as a warning what happens if you try to "punish the rich".

  • DenverMike Pininfarina I know it's not related to this, I just like saying it.
  • Matt Posky I don't understand the appeal of fake meat and this seems to operate under a similar premise: You don't want the V8 because someone says it's bad for you. But you can have something designed to mimic the experience because that's what your body actually wants. The styling is cool I guess. But I don't understand why EVs don't just lean into what they are. Companies can make them produce any wooshing or humming noises they want. Buiding an entire system to help you pretend it still has a combustion engine seems a little lame.
  • DenverMike I'm sure it would have a volume control. It's nice to sneak into my neighborhood at 2am quietly. Or creep out, 4am. I don't get much sleep OK, but I always keep my V8 exhaust stock, as much as I love the sound of others loud. My stereo would make it pointless anyway.
  • FreedMike I’d love to see more tracks, or off-road parks if that’s your jam. But for those of us who’d love to take part in this kind of thing, practicality is the limiting factor. Racing has always been expensive, and most people don’t want to do it with their daily drivers - I’d love to see what my GLI would do on a track, but not at the cost of voiding my warranty, or potentially wrapping up the car (which I’m pretty sure would put me on State Farm’s Keith Moon-trashing-the-Holiday Inn list). As a practical matter, you have to have a vehicle that is intended to be used for racing, and the ability to fix it; most folks don’t have that kind of money or skill set.
  • Dukeisduke Oh, so it *is* a hatchback. Last night, I watched the replay of the reveal with Tim Kuniskis presenting the car, on Instagram. A "fly-through" of the car on the pre-rollout video made it look like they were going through an open hatch, so it had me wondering. The car attracted a lot of negative comments on IG, on feeds of guys who were there live.This is probably the least "electric car" electric car.
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