Fact checking Romney's claim for credit in auto rebound
May 8th, 2012
02:21 PM ET
2 years ago

Fact checking Romney's claim for credit in auto rebound

New York (CNNMoney) – Mitt Romney argued against the bailout of the U.S. auto industry in 2008, in an article entitled "Let Detroit Go Bankrupt." Now three years after the Obama administration bailed out General Motors and Chrysler Group, and with U.S. auto industry sales, profits and hiring all rising, Romney believes he deserves credit for that turnaround.

Romney is right that the 2009 bankruptcy reorganizations at GM and Chrysler played a major role in the turnarounds at those automakers. It allowed them to shed billions in debt, along with plants, workers, brands and dealerships they could no longer afford. And he's correct that the automakers and the United Auto Workers union were initially opposed to the bankruptcy process, uncertain that the companies would survive what they expected could be months if not years in bankruptcy court.

But the billions of dollars from the federal bailout helped the bankruptcy process get done in about two months, must faster than anyone thought was possible, said Van Conway, CEO of Conway MacKenzie, a restructuring firm in Detroit.

FULL STORY

Filed under: Mitt Romney
soundoff (49 Responses)
  1. WireweirdinSF

    Why is it that the CNN Fact Checker only checks Republicans? I have been waiting for Obama fact checks, or Biden fact checks or checks on any democrat liberal, but the CNN Political Ticker only seems to Fact Check Republicans.

    May 8, 2012 02:32 pm at 2:32 pm |
  2. Rudy NYC

    Romney takes credit for saving the auto industry. You gotta be Mitten me!

    May 8, 2012 02:32 pm at 2:32 pm |
  3. The Real Tom Paine

    A bailout of that speed would never have been possible through a normal structured bankruptcy, especially given the fact that no banks were willing to lend the money. Romney keeps trying to ingnore the fact that his bankruptcy would have been far more prolonged, and most likely would have resulted in GM and Chrysler being liquidated. The fact that he is trying to take credit for this is beyond pathetic.

    May 8, 2012 02:33 pm at 2:33 pm |
  4. Mike from Calgary

    So many flip flops from this "Man fro Glad" with the Cayman Island tan, you can't believe a thing he says ... but no concern since Mitt doesn't seem to believe or to say the same thing from one day to the next, from one state to the next. No wonder the other Mormon candidate Huntsman described Romney a "well oiled weather-vane".

    WITH ROMNEY, THE REPUBLICANS DON'T HAVE A PRAYER IN NOVEMBER!

    May 8, 2012 02:40 pm at 2:40 pm |
  5. stranger in an increasingly strange land

    Lets see. Romney wanted to barkrupt the auto industry so they would sell off everything and get rid of workers. Obama and the government provided a bailout fund so the auto companies could keep people working while restructuring under the bankruptcy rules. Now Romney is claiming that HE savedf the indusry. Where in any world does the person who was for the destruction of an entire industry get to claimcredit when someone else's plan works.

    Typical Republican. Claim credit for someone else's work. As Nixon taught the Republican Party: "Lie often enough and keep telling the same lies and they will become indistinguishable from the truth"

    May 8, 2012 02:40 pm at 2:40 pm |
  6. d

    So what is the fact check? he was against the bail out period...enough giving credit where none was earned! he did nothing !

    May 8, 2012 02:40 pm at 2:40 pm |
  7. Claudia, Houston, Tx

    What came first, the chicken or the egg, answer that and we can also give Romney credit for killing Osama bin Laden.

    May 8, 2012 02:43 pm at 2:43 pm |
  8. Rudy NYC

    from the article:

    "There was no way they could get financing," said Conway. "They were burning money so fast, with no end in site, that no one but the government was going to give them money."
    --------------–
    Don't forget. Wall Street was still reeling from the financial collapse. Let me put it this way. When they say "no one ...was going to give them money." They mean it. Not even Bain Capital was willing to extend them money, even if they were big enough to loan that much.

    May 8, 2012 02:44 pm at 2:44 pm |
  9. vote the Tea Party OUT in 2012

    "Mitt Romney is a LIAR" Newt Gingrich
    "Mitt Romney can NOT beat Barrack Obama" Michelle Bachman
    "Mitt Romney is the WORST Republican to run against Barrack Obama" Rick Santorum
    "We nominate Mitt Romney and we'll LOSE" Ann Coulter
    and those are the things his OWN party said about him!

    May 8, 2012 02:44 pm at 2:44 pm |
  10. V in Chicago

    I think an online social networking site would be a good thing. Do I get credit for FaceBook now? His claim amount to the same kind of crap! Mitt – we all know your stance – "Let Detroit go Bankrupt". That was not a positive statement no matter how you try and flip it around.

    May 8, 2012 02:44 pm at 2:44 pm |
  11. Al-NY,NY

    "I helped!! I helped!!! Pay attention to me!!!"--FAIL

    May 8, 2012 02:45 pm at 2:45 pm |
  12. jefflz

    Every time Romney opens his mouth he reminds us how weak he is. He definitely wanted to let the auto industry go down in flames to destroy the UAW and now he is rewriting history. Here is a man who stands idly by while his supporters shout that Obama should be tried for treason, who lets the religious right force out his chosen foreign policy adviser, who parrots the draconian Ryan budget plan, who tells kids to borrow $20,000 from their parents, who made money off-shoring US jobs and closing down pension funds. Just try to come up with one positive feature of Romney – it is not possible. How desperate the GOP has become as they are held in a death grip by the Tea Party and the religious fundamentalists. Romney is not even fit to be in the same race with Obama.

    May 8, 2012 02:46 pm at 2:46 pm |
  13. V in Chicago

    MItt – put the Etch-a-Sketch down now. Time for a reality check. Next thing you know, he will tell us how it was his Idea to pull troops from Iraq and how he led the team that took out Bin Laden.

    Wow Mitt, what a guy – NOT!!

    May 8, 2012 02:46 pm at 2:46 pm |
  14. Obama 2012 - BEND Forward America, take another 4 long years of FAILURE

    > It allowed them to shed billions in debt, along with plants, workers, brands and dealerships they could no longer afford.

    How many tens of thousands of jobs did Obama axe at the plants and dealerships? How can he and the Democrats attack ROmney for having to do the very same thing when he tried to turn companies around. Can you say hypocrisy?

    May 8, 2012 02:49 pm at 2:49 pm |
  15. Wake up people

    This guy has a lot of nerve. He thinks he deserves credit for the auto industry rebounding yet President Obama deserves none for getting Bin Laden?? Is this guy crazy or what? How anyone who is not wealthy supports this bare faced liar is completely beyond me. What next was he the one that made the call to get OBL? And why doesn't he take credit for something he actually did, like his health care plan? No he can't do that, it would take someone with a spine to stand up to Grand Obstruction Party and the tea baggers. I can say this about this election, it sure is amusing watching Robmey flip-flop like a fish out of water DAILY. And what's up with a candidate that can't answer a question only the ones he knows about prior? That's not the real world....

    May 8, 2012 02:54 pm at 2:54 pm |
  16. mdturn1

    This is an incredible WEAK presidential canidate. This was an absolute pathetic claim. I have completely LOST ANY AND ALL RESPECT THAT I COULD HAVE HAD FOR THIS MAN. He is running on desperate! The sad part about this is that people will actually buy in to what he is saying! Rick Santorum was right: "We are better off with Obama"
    (I AM AN INDEPENDENT)

    May 8, 2012 02:54 pm at 2:54 pm |
  17. Realitybites

    WireweirdinSF
    Why is it that the CNN Fact Checker only checks Republicans?
    --------------------------
    For the same reason law enforcement officers check out criminals.

    May 8, 2012 02:55 pm at 2:55 pm |
  18. The REAL Truth...

    @WireweirdinSF – "Why is it that the CNN Fact Checker only checks Republicans? "
    ------------------------
    I simply can't pass up this opportunity you gave us weird.. It's probably because the Democrats don't need to have their facts checked ?? LOL

    The Repugs seem to thrive on their amnesiac revisionist version of history... pretty much along the lines on Mittens claim above. Whatever minimal credibility mr. flopper had has completely gone.

    May 8, 2012 02:57 pm at 2:57 pm |
  19. Rudy NYC

    WireweirdinSF wrote:

    Why is it that the CNN Fact Checker only checks Republicans? I have been waiting for Obama fact checks, or Biden fact checks or checks on any democrat liberal, but the CNN Political Ticker only seems to Fact Check Republicans.
    ---------------
    Good question. Let me take a shot at the answer. Uh, ah ah because so much of what Republicans say is so shocking and mind numbing, that you just have to look it up and check it. Hey, come one. Mitt Romney just took credit for saving Detroit. You gotta be Mitten me.

    May 8, 2012 02:58 pm at 2:58 pm |
  20. chris Omu

    So people thought that Newt was just rambling when he called Romney a L-I-A-R! This guy just keep talking from two sides of his mouth. Soon he would claim some credit for the over 4millions jobs so far created by the Obama admin!

    May 8, 2012 02:58 pm at 2:58 pm |
  21. The Real Tom Paine

    -Obama 2012 – BEND Forward America, take another 4 long years of FAILURE

    > It allowed them to shed billions in debt, along with plants, workers, brands and dealerships they could no longer afford.

    How many tens of thousands of jobs did Obama axe at the plants and dealerships? How can he and the Democrats attack ROmney for having to do the very same thing when he tried to turn companies around. Can you say hypocrisy?
    *****************************************************
    Produce the numbers, please: how many jobs were lost at the dealerships vs how many would have been lost if nothing had been done? My company does business with the auto industry, and you would be hard -pressed to find ANYONE there who says Obama made the wrong call. You just have an issue because the industry was saved. Romney shuttered companies and pocketed the money, while Obama saved an American industry: big difference.

    May 8, 2012 02:58 pm at 2:58 pm |
  22. Dave

    Is Da Bishops nose Growin a bit? Whe he also be runnin & hidden from the press like a little girl? What up wit him only givin gimmie a kiss Interviews wit Gretta?? Time for Meet The Press, Bishop says no way, That guy asks real questions, I will stay with Fox, They be Lovin all up in Me.

    May 8, 2012 02:59 pm at 2:59 pm |
  23. Deb in MT

    I can't decide if Willard Mitt Romney is an habitual liar, or if he just thinks the world revolves around him so that he naturally gets credit for anything that he wants to claim? Maybe, a bit of both, but I'm leaning heavily toward the 'habitual liar' explanation of Romney. That, and the man has a core consistency like partially set jello.

    May 8, 2012 02:59 pm at 2:59 pm |
  24. The Dude

    Obama 2012 – BEND Forward America, take another 4 long years of FAILURE

    "How many tens of thousands of jobs did Obama axe at the plants and dealerships? How can he and the Democrats attack ROmney for having to do the very same thing when he tried to turn companies around. Can you say hypocrisy?"

    Obama did what had to be done. Some jobs were no doubt lost, but if the industry had failed (which it would have if Obama had not acted), then millions would be out of work. Fact is Romney is a liar and revisionist and is not deserving of his own party's nomination. November will be an epic fail for him and he will retreat back to the state of Mormon.

    May 8, 2012 03:01 pm at 3:01 pm |
  25. Joi Gibson

    This guy has some nerve. He simply cannot stand the fact that the bailout worked and President Obama gets the credit for it. What a child Willard is. And to think people will actually vote for this fool. He will take credit for something which he had NOTHING to do with, yet he cannot take a stand against a woman standing right in front of him accusing the President of treason. Willard gets scarier by the day.

    OBAMA/BIDEN/FIRST LADY MICHELLE 2012!!!

    May 8, 2012 03:01 pm at 3:01 pm |
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