Bob Corker (R-AHole): “Bust the UAW Already, Obama!!!”

[babylonsister]

Bob Corker: “Bust the UAW Already, Obama!!!”
By: emptywheel Monday March 30, 2009 11:05 am


Bob Corker was one of the people in Congress who refused to include auto dealer concessions to GM and Chrysler in restructuring negotiations last year. As such, he--and his cowardice--bears significant responsibility for neglecting one third of the concessions that needed to be made from automaker stakeholders; the Obama Administration has, for the first time, addressed dealer concessions in today's announcement.

In addition, Corker's purportedly brilliant bailout compromise last year (which amounted to "bust the UAW") included none of the bankruptcy-like legal authority to cramdown bond-holder debt. Partly as a result (and partly because of a sweetheart deal Corker's buddies at Cerberus got), GM had no leverage to convince bond-holders to take the haircut they need to on its debt.

Nevertheless, Corker wasted no time in bitching about Obama's announcement today.

“Firing Rick Wagoner is a sideshow to distract us from the fact that the administration has no progress to announce today,” said Corker, a Republican. “The administration is hoping the media and the public will stay focused on Wagoner and fail to notice that negotiations have not progressed since December.”



“The administration is pursuing much of what we pushed for in December, but the delay of several months has increased the severity and sent billions of taxpayer dollars down the drain,” Corker said. “Now any investment is likely unrecoverable.”

Corker, you see, is hoping everyone will stay focused on his showboating, and not notice that Corker left several key elements off the table last year out of political expediency. Corker's also hoping you ignore that Bush basically used Corker's plan when he pushed through the Christmas Eve bailout--so if this plan has failed, it is Corker's plan that failed.

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http://emptywheel.firedoglake.com/2009/03/30/bob-corker-bust-the-uaw-already-obama/#more-38476