Bush Considering 'Orderly' Auto Bankruptcy

[tekisui]

Source: AP

WASHINGTON – The Bush administration is looking at "orderly" bankruptcy as a possible way to deal with the desperately ailing U.S. auto industry, the White House said Thursday as carmakers readied more plant closings and a half million Americans filed new jobless claims.

With General Motors, Chrysler and the rest of Detroit anxiously holding its breath and waiting for a federal rescue, White House press secretary Dana Perino said, "There's an orderly way to do bankruptcies that provides for more of a soft landing. I think that's what we would be talking about."

President George W. Bush, asked about an auto bailout, said he hadn't decided what he would do but didn't want to leave a mess for Barack Obama who takes office a month from Saturday.

Bush, like Perino, spoke of the idea of bankruptcies orchestrated by the federal government as a possible way to go — without committing to it.

"Under normal circumstances, no question bankruptcy court is the best way to work through credit and debt and restructuring," he said during a speech and question-and-answer session at the American Enterprise Institute, a conservative Washington think tank. "These aren't normal circumstances. That's the problem."

Perino said the White House was "very close" to a decision — though she wouldn't give a timetable. She emphasized there were still several possible approaches to assisting the automakers, including short-term loans from the Treasury Department's $700 billion Wall Street bailout program.

more: http://news.yahoo.com/s/ap/20081218/ap_on_go_pr_wh/meltdown_autos

[Bozita]

1. If the Big 3 were non-union, this would've been over a long time ago.

Bush wants the UAW's scalp. Bigtime!

[Gothmog]

2. Is she talking about a pre-packaged Plan?

Bankruptcy is never a orderly process and even pre-packaged plans have issues. Any such plan would involve eliminating all shareholders and shareholder equity.

[Cessna Invesco Palin]

3. This man is such a prick.

Goddamn, what a fucking prick.

[icnorth]

4. Isn't that just precious...

"...didn't want to leave a mess for Barack Obama." empathy enough there to fibrillate the heart of a compassionate conservative.

[dkofos]

5. By orderly, he means, DUMP the UNION, DUMP the PENSIONS,

DUMP HEALTH CARE BENEFITS, and CUT the PAY of the line workers.

Then give the savings to top management for bonuses.

Hey UAW bend over and grease it up!!

[Zodiak]

7. That's exactly what he means

Bankruptcy nullifies union contracts. An "orderly bankruptcy" will do the same.

This is a typical bush attack...come out with a two word phrase that redefines the entire argument to his benefit.

It's all part and parcel to the shock doctrine. He will break the backs of the UAW workers as a parting gift to the foreign automakers in the South. Then they will no longer have to compete with the union shops for workers and can feel free to drop wages down to $10-15 an hour.

[Johonny]

6. I'm just saying for a guy that doesn't care if we like him

he's trying very hard to suck up to the 9-10 % that he lost in the last 3 months.