Dec 19 2008
A Bailout Is Here
The White House finally announced a $17.4 billion plan to help the struggling automakers. This money is coming from the $700 billion fund, drying up the first half of amount. The Treasury Secretary will now be seeking the second half of the amount to be released. But back to the auto bailout, the loan is dependent on the auto industry making certain concessions, including the elimination of “jobs bank” programs, giving the government the option to own part of the companies, limiting executive pay and certain perks (the infamous private jets), and the “car czar” idea is still there. It is basically some of the requirements in the bill defeated last week.
Bush came through in some degree. There will still be a mess for Obama, but at least it will be slowed down a bit so it is not a complete disaster. The automakers now have to do their part, as Obama’s team continues on their side.
So… pretty much the same deal as before? Way to go Bush, took you long enough…