Everyone but you and the nitwits who work for/alongside you, TOTUS.

My back is killing me today and I’d much rather be on the floor with a hot pack and pain pills, but I am lucky enough to have work this weekend (and into next week if I finish the edit of that propaganda) and I’m pushing through the pain.

I’m so sick of this guy’s tantrums. Please God, somewhere out there has got to be the second coming of a man of integrity like Ronald Reagan, a man of values who surrounds himself with intelligent and practical advisors.

You can read about it here:

http://zerohedge.blogspot.com/.....stroy.html

Mark Levin linked to the lawyers interview where he said that Perella Weinburg was threatened by the White House.

It has become quite clear to anyone with eyes wide open, that this Administration intends to nationalize as much of the American private sector as it can. And as the banks are nationalized, so will go the entire private sector. What FDR could not accomplish in the ’30′s, Obama will try to accomplish 75 years later.

We are about to see the true meaning of “workin’ for da man”.

The UAW is being handed a business they never invested in so that as many of their overpaid jobs remain as possible in the short term. The prattle about bond-holders, bankruptcies, new investors, hedge funds, etc is flak/distractions to move your eye to the shell that doesn’t have the pea.

It’s a payoff for putting TMCC in power.

The UAW is responsible for the failure of the business. The laws of economics prevailed. With government backing, the unions kept their compensation at an uneconomic level. Failure of the business was inevitable. Perhaps other bad business decisions were made, but none of the other reasons are as certain as the uneconomic compensation package of the UAW.

The ultimate result will soon be inferior vehicles that Americans are somehow forced or induced to buy. Reason 1 is that the UAW’s wages will continue to be uneconomic, and probably moreso. Reason 2 is that the government will continue to meddle and make businsess decisions to keep the politicians in power, not to make good cars.

GM and Ford will also fall, GM because it is in the same situation as Chrylser. Ford because a more successful business model cannot be allowed to endure. The foreign companies must also be crushed.

It is already heralded as a triumph for Government.

In fact, it is a tragedy for the country and even for the workers of the UAW, who will soon join the rest of the country as our lifestyles slip to 1/2 or less than they were in June of 2008. As these actions ripple through the rest of the economy, lifestyles will revert to those of Communist Russia. It is inevitable, and will happen more quickly than you fear.

The winners, as we all know, will be the commissars in the government, and the small handful of slimeballs in the UAW who supported the communist coup.

Banks and the Automobile Industry are under control of the commissars. Next will come Health Insurance and the Utility companies, then the Medical business, Energy and destruction of private Education. That should all occur by 2012, leaving about 30-40% of the economy in private hands.

Of course, a lot of it will be facist control of business instead of overt Socialism.

But the impact will be the same.

The entreprenurial middle class will be annihalated and never again able to challenge to absolute rule of the oligarchy.

Which has been the goal from the first minute.

Amazing, insightful post. And scary too.

We are really screwed if the bamboozelers’ continue untouched!!

In 1972, I had a Chrysler engineer sitting at my kitchen table. He worked at the Fenton, Missouri truck assembly plant (now closed down) where all the picksups and vans were made. It was the largest truck assembly plant Chrysler had, being even larger than the one in Michigan.

The engineer explained how Chrysler was designing “three year throw aways”. They were designed to be cheap, available to even low income families, but would only be reliable for about three years before they started needing major work. The entire concept was to make a car that would cost more to repair than it would to buy a new one. Hence, the “3 year throw away” term. It would be cheaper to throw the car away than to buy a new one because at that time, the maximum length of time you could finance a car/truck was three years. As soon as it was paid for, you would need a new one, just as cheap but equally as unreliable in the long term.

Since I was deeply involved with Chrysler at the time (my spouse working for them), I knew the cutbacks that Chrysler was making to make a cheaper vehicle. Quality control went out the window, as QC was expensive. The trick was to build a lot of vehicles, QC be damned, just get them on the street.

This program would accomplish two things: it would keep Chrysler building cars and would keep UAW members working.

But Americans were spoiled. They were used to buying a vehicle that was practically indestructible. Hell, in the early ’70′s it was not unusual that people were still driving vehicles they had bought 20 years before.

The plan backfired. Chrysler gained the reputation of building unreliable vehicles. And Ford, trying to end the reputation of FORD (found on the road dead) started building cars, vans and pickups that were reliable. By the ’80′s, Ford truck sales far surpassed Chrysler, with GM being a close second.

Now to the Chrysler bondholders: a number of companies, not hedge funds, invested in senior bonds with Chrysler. These were companies that managed retirement funds (401(k) plans and IRAs) as I have explained before. The “senior” bond is on top of the pecking order when bankruptcy is filed and some of these bonds are even insured.
The Treasury Department, lead by Turbo Tax Tim, decided that these bondholders would be represented by J.P. Morgan, who received TARP funds, and not by the bondholders themselves. What Turbo Tax Tim was trying to do was prevent the bondholders from having much say in the amount of money they would get.

A deal was cut with the major banks that held Chrysler debt. But as the facts of the deal came out, that these banks were the very banks that had benefited the most from TARP, like Citibank and Bank of America, it was obvious that some kind of back room deal was cut by the administration to get these banks to lower their claim to the Chrysler debt by almost 90%. Now, top that off with the next back room deal cut with the UAW that would allow the UAW to claim almost 55% of Chrysler through its retirement fund. Add Fiat, that would hold 20-35% of Chrysler without one damn dime of investment.

So now you have the UAW holding 55%, Fiat almost 35%, the federal goverment 8-10% and there is nothing left. So Turbo Tim offered the bondholders 29 cents on the dollar. A buyout, so to speak. The administration wanted the bond holders to take the major hair cut but when the rest of the deal came out, the bondholders, holding seniority in the debt game due to bankruptcy laws, told the administration to stuff it and informed the administration they would take their chances in bankruptcy court.

And what did the administration do? Obama attacked the bond holders, referring to them as “hedge funds” (remember, the evil hedge funds?) and calling them unpatriotic because these investors were not willing to be scalped. Obama showed that anyone who balks at his game playing will be demonized. Just like he demonized the Tea Party goers during his speech at Fox Senior High School in Arnold, Missouri, which oddly enough, was the major city where the Fenton, Missouri Chrysler Plant workers lived (betcha didn’t know that, did you?). When the Fenton Truck Plant shut down, Arnold took a hellofa hit with unemployment. How do I know? When my spouse worked for Chrysler, we lived in Arnold. And half the friends I had there lost their jobs at Chrysler. There was a reason that Obama chose Arnold for his 100 Day speech. Now you know why.

What was the deal cut with the banks? Did the administration promise to lessen their debt to the American taxpayer they aquired through TARP funds? The administration is not saying and neither are the banks. But look for former CEO of Bank of America to start singing like a bird, now that the stockholders have thrown him out.

This administration is truely the Wizard of Oz. You have to look behind the curtain. There was a reason he went to Arnold, Missouri out of all the cities in the nation he could have taken his road show to. There was a reason he referred to the bondholders as “hedge funds”. There are back door deals being made to prop up no one but the UAW who campaigned for him and filled his campaign coffers mightily. There is a reason Gittlefinger (head of the UAW) backtracked on the initial deal cut with Chrysler and GM made when the Big 3 first went to D.C. to beg for bailout money, saying he had decided to take his chances with the incoming administration and that he thought the incoming administration would be more sympathetic to the “plight” of the UAW. The deal had already been cut. Get the TARP banks to reduce their debt claim, scalp the bondholders, and get Fiat in on the deal to gain technology at no cost to Fiat.

Look behind the curtain.

Scary stuff, very scary.

TMCC (The Moron’s Criminal Cabal) threatened to sic the “press corps” on the bond holders who were resisting their order to take a miniscule sliver of the Chrylser remains, even though the bond holders have a legal contract that puts them at the head of the line in a bankruptcy. That’s why they bought the bonds.

So you have a triple crime in progress:
1. Abuse of power by threatening private citizens
2. Denial of a legal contract (just the basis of the Constitution and our country, that’s all)
3. Use of the press, for God’s sake, as the enforcer.

Now you know why I call them a criminal cabal. The natural evolution of the Chicago mob. No different that a Banana Republic.

This is beyond Orwellian.

Certainly, this is a dream and it can’t be happing in the United States of America.

Thanks for that link. I listened to the interview and it sounds like exactly what he said, that “The executive branch is sticking its fingers in the judicial branch and usurping the Constitution.”

I’m glad someone said it who has a stake in all this. Fair is fair, to be sure but it sounds like the shareholders are trying to do just that while the lying liar who lies, lies about them and their intentions.

It really is criminal what this arrogant combination of president and administration are trying to do.

I recommend listening to the interview, by all means.

Go to http://www.marklevinshow.com and click on the above stories link ..

“Gonna jump down, turn aroun’, make dem green autos.
Gonna jump down, turn aroun’, make ‘em green all day.”

“Swing low, sweet General Motuhs, comin’ fo ta carry ma loannnnnn,
Swiinnnngg looooowwww sweeet General Motuhssss…comin’ fo ta carrryyyy mah looooaaannnnnn.”

“Well ah looks ovuh Detroit….wutta ah seeeeeee?
(comin fo ta carry mah loannnn?)
O-bama and his g-men…..comin affuh meeeeee……
(Comin’ fo ta carry mah loannnnnn)”

Bravo to the bondholders. It’s their capital at risk.

The union employees were all paid for their labor. They didn’t take the risk why should they get the remaining assets?

Even those involved in the negotiations see little upside in fighting. “There’s zero chance this group will be able to get anything more in bankruptcy court given that 90 percent of the lenders are lined up against them,” said a hedge fund manager who owns about $10 million of Chrysler’s secured debt and voted for the government’s proposal…”

I have trouble imagining what if anything this has to do with anything. The last I heard, bankruptcy courts operated under the rule of law, unlike Team Obama.

“and voted for the government’s proposal”.

Seriously? They were voting? In that case I think the 90% already won right? Oh yeah that’s right it wasn’t a vote, because Team Obama doesn’t oversee a democracy. And God bless the hold outs for not bowing like Obama meeting a Saudi king.