Obama campaign to tout auto bailout
March 12th, 2012
03:26 PM ET
2 years ago

Obama campaign to tout auto bailout

Washington (CNN) —When Vice President Joe Biden hits the campaign trail in the pivotal swing state of Ohio this week, he will likely focus on one of the Obama administration’s successes – the bailout of the auto industry.

Biden gives the first in a series of four high profile speeches at a United Auto Workers union hall in Toledo on Thursday.

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Filed under: 2012 • Ohio • President Obama
soundoff (15 Responses)
  1. Wire Palladin, S. F.

    Even the 'cash for clunkers' program saved a majority of rich republican car dealership owners. They in turn reward our president by giving huge campaign amounts to right wingnuts and GOP clowns.

    March 12, 2012 03:32 pm at 3:32 pm |
  2. GROVER NORQUIST IS A ENEMY OF THE STATE

    GM is alive, OBL is dead!

    March 12, 2012 03:40 pm at 3:40 pm |
  3. reason

    Obama is going to tout the auto bailout? Crazy. Didn't President Bush start the auto bailout? Yes. Obama and Bush bailed out a private company and gave it billions of dollars... then forced it to restructure (Obama), ripping off the actual stockholders and investors... but giving stocks to the unions.

    Had the government stayed out of it, they would have filed for bankruptcy and restructured anyway.

    March 12, 2012 03:49 pm at 3:49 pm |
  4. Rudy NYC

    Would someone please complain about the roughly $8 billion that GM has not yet repaid the taxpayers?

    Please do, so that I can point out that the taxpayers own millions of shares of GM stock, and as GM gets stronger the stock price will rise. Soon, the taxpayers will be able to sell those shares at a profit.

    Please do, so that I can point out that the taxpayers are still owed over $180 billion from AIG, and there are not rigid strings, time tables, or committments for AIG to ever pay the money back.

    March 12, 2012 03:50 pm at 3:50 pm |
  5. Honest Abe

    Note: Cash for Clunkers was a huge failure. Not only did it waste taxpayer money, but it disposed of usable cars... driving up the price in the used car market. The poor took the brunt of the Cash for Clunkers debacle. Democrats need to stop screwing up the economy.

    March 12, 2012 03:51 pm at 3:51 pm |
  6. Four and The Door

    Recently at the UAW convention inWashington, DC, the president described the 2009 bailout as a bet on the American worker.
    ______________________________________________________________________________________________
    How about his side wager on the Chinese worker? I suppose he will conveniently leave out GM's aggressive push into Chinese technology development and manufacturing ramp up in Shanghai? That doesn't play so well in an election year, especially when the US Government ( i.e., taxpayers ) still has $30 billion invested in this Fortune 500 company.

    March 12, 2012 04:07 pm at 4:07 pm |
  7. Rudy NYC

    Four and The Door wrote:

    How about his side wager on the Chinese worker? I suppose he will conveniently leave out GM's aggressive push into Chinese technology development and manufacturing ramp up in Shanghai?
    ------------–
    Would you mind letting us in on whatever it is you are talking about? BTW, we already know that GM sold the Hummer brand to Chinese investors. We also know that GM decided *against* manufacturing the Chevy Volt in China, and a whole lot of stuff, because copyright and patent issues, after the Obama administration made them aware of certain facts of life.

    Ask Apple Computer why the Chinese are allowed to manufacture and sell clones of all of the Apple products manufactured in China within Chinese borders. That's well over a billion customers removed from your customer base. Seems to me that Apple has done more to help the Chinse workers than anything the Obama administration has alledgedly done.

    March 12, 2012 04:18 pm at 4:18 pm |
  8. S.positive

    Folks deny the truth. President Obama saved the auto industry. thats FACT. Anything else is delusion...

    March 12, 2012 04:18 pm at 4:18 pm |
  9. Rudy NYC

    reason wrote:

    Had the government stayed out of it, they would have filed for bankruptcy and restructured anyway.
    ------------------
    Really? No one would provide them with sufficient capital to finance their restructuring. Why do you think they approached the governement in the first place? Banks wouldn't even lend them operating capital, as their sources of income collapsed and folded.

    Without government help, their bankruptcy would have been a liquidation sale. No one wanted to buy individual divisions because they felt a liquidation sales was imminent. Romney and the right wing are rewriting history, once again.

    March 12, 2012 04:24 pm at 4:24 pm |
  10. Sniffit

    The GOPers/Teatrolls are just mad because (a) Obama saved GM and gets to shove it down their throats and (b) GM refused to manufacture the GOP's/Teatrolls' standard issue clowncars for them.

    March 12, 2012 04:34 pm at 4:34 pm |
  11. Sniffit

    "Without government help, their bankruptcy would have been a liquidation sale. No one wanted to buy individual divisions because they felt a liquidation sales was imminent. Romney and the right wing are rewriting history, once again."

    Indeed. And guess where the investors would have come from who would've jumped at the chance to do the buying at said liquidation...

    March 12, 2012 04:36 pm at 4:36 pm |
  12. Four and The Door

    S.positive
    Folks deny the truth. President Obama saved the auto industry. thats FACT. Anything else is delusion...
    __________________________________________________________________________________________
    I'll take Alan Mullaly's way every time. Ford never went bankrupt. But they are doing just fine standing on their own.

    In any event, what saved GM was bankruptcy and a functioning free market demand.
    How about Honda, Volkswagen, Hyundai, Toyota, BMW and all of the other automobile manufacturers who build cars in the US? Is Obama going to try and take credit for their success, too?

    March 12, 2012 04:48 pm at 4:48 pm |
  13. Mikey

    @Rudy NYC "reason wrote: Had the government stayed out of it, they would have filed for bankruptcy and restructured anyway"
    *********************************************
    Not only was their little prospect of private capital to inject into those companies, especially given the state of the economy at that time, but any disruption in production by GM and Chrysler would have probably driven several comanies in the supply chain out of business. Friday's Wall Street Journal has an article that explains just how fragile the supply chain was at that time. Such a disruption would have probably pushed Ford, GM, and Chrysler and most of the companies that supply them over the edge, putting perhaps more than a million workers out of jobs all simultantously. I would hate to think about the impact that would have had on our already realing economy. Of course, now that we are past the crisis, the revisionists on the right, just like with the Wall Street bailout, can pretend that everything would have been okay if the Government would have just stayed out. I hope those who truely believe that are never in decision making positions if we have another similar crisis.

    March 12, 2012 04:52 pm at 4:52 pm |
  14. The Real Tom Paine

    Honest Abe, you need to be honest: it got production moving again. I spoke with plants throughout the midwest that were running 24×7: what is better for the long-term health of our economy, retail sales of used cars, or increases in new car production?

    March 12, 2012 04:53 pm at 4:53 pm |
  15. Sniffit

    "In any event, what saved GM was bankruptcy and a functioning free market demand."

    No, GM was not magically saved by unicorns farting rainbows to spell "capitalism" in the sky. GM was quite literally saved by being forced to carefully restructure and dump a ton of useless upper management and executive positions that were getting paid all kinds of money to do nothing or to do redundant things, in exchange for the bailout money used to buy shares in the company so it would have the operating capital to do said restructuring. It was not "hands off, let the magical markets work their voodoo!!!" resulting in GM suddenly being fine. Grasping at that kind of irrational ideological nonsense to explain away what is clearly and undeniably the reason GM is standing today just shows your desperation. You can do better than that. It wasn't magic. It was practical business decisions facilitated and guided by the Obama administration. Don't like it? Fine. But don't pretend that it's not the truth just so you can sleep at night.

    March 12, 2012 05:10 pm at 5:10 pm |