GOPUSA ILLINOIS Daily Clips - November 22, 2008
GOPUSA ILLINOIS Daily Clips - November 22, 2008
GOPUSA ILLINOIS
-- New GOPUSA Illinois poll: If your next new vehicle will not be a General Motors, Ford, or Chrysler, why is that?
http://www.gopusa.com/illinois/poll.shtml
-- You agree with those who argue that "nobody" buys vehicles made by General Motors, Ford, or Chrysler anymore
-- You agree with those who argue that General Motors, Ford, and Chrysler build vehicles that "nobody wants"
-- You agree with those who argue that vehicles made by foreign manufacturers are superior in terms of quality, design, reliability, cost, etc.
-- You agree with those who argue that General Motors, Ford, and Chrysler will not be in business much longer
-- You agree with those who argue that those who drive foreign nameplate vehicles are more intelligent than those who drive American nameplate vehicles
-- You want to buy from a dealer that is nearby, but nearby General Motors, Ford, and Chrysler dealers have gone out of business
-- You disagree with those who argue "Be American, Buy American," you disagree with those who argue that vehicle manufacturing is a vital industry, and you disagree with those who argue that American should not turn over that vital industry to foreigners
-- You are a "limousine liberal" or you want to be viewed as being one
-- You disapprove of and you want to punish unions, union employees, and companies that employ union members
-- You disapprove of and you want to punish the typical General Motors, Ford, and Chrysler vehicle owner -- an older White male conservative Republican
-- You agree with those who argue that General Motors, Ford, Chrysler, their employees, their retirees, their suppliers, their dealers, their stockholders, etc. should be "punished"
-- You are employed by, own stock in, or otherwise have an interest in one or more foreign vehicle manufacturer
BEACON NEWS
-- Local auto dealers, communities fear fall of Big Three - Rowena Vergara
http://www.suburbanchicagonews.com/beaconnews/news/1293892,2_1_AU22_AUTOFALLOUT_S1.article
(THE ARTICLE: The owner of Dempsey Dodge Chrysler Jeep in Plano is nearly out of marketing techniques. When gas prices were marching toward $4 a gallon, the dealership off Route 34 was advertising free gas with the purchase of a new vehicle. It increased its online presence, too, in order to sway savvy Web buyers. But now the most unthinkable challenge has been thrown their way: the nation's three largest car manufacturers, Chrysler, Ford and GM, are asking the government for a bailout. The Big Three say without one, the auto industry could collapse. So Tom Dempsey is doing the one thing that seems logical to him at this point. He decked out his entire lot with American flags. "I'm just trying to promote that American kind of thing. We're trying to get more of that loyalty in our favor. We're down, and we want everyone's support," Dempsey said. It's not that auto sales are at a standstill. Dempsey and other dealers, like Chignoli Auto Sales of Yorkville and Fox Valley Ford in North Aurora, have reported more sales of used cars than new ones. Tom Collins, part owner of Fox Valley Ford, said business at his dealership is actually up from last year by 9 percent, due to a stronger Internet presence. But if the Big Three were to slip further in an already downtrodden economy, local dealerships fear what consequences could be ahead. "If GM was in the process of declaring bankruptcy, would you feel very comfortable buying a brand new GM? That would kill sales immediately," Collins said. He added that if GM were to close, some suppliers would go down with them. In the long run, that could result in less availability in parts for existing cars that need to be repaired. American companies that supply the electronics or tools to make auto parts could also be in jeopardy, he said. Even city road projects, like those in North Aurora, could be affected by a potential fallout of the auto industry. North Aurora receives about one-third of its sales tax dollars from dealers at the North Aurora Auto Mall, about $1.1 million annually, village Finance Director Bill Hannah said. There are at least seven dealerships off Orchard Road near the Interstate 88 Tollway. A Hyundai dealership was the most recent business added to the auto mall in the last year. Village officials credit the auto mall, established in the early 1990s, for allowing the village to pursue road projects and repairs. "We've increased the amount that goes to road projects every year. We couldn't do it without them," said Sue McLaughlin, village administrator. "Everyone knows North Aurora because of the North Aurora Auto Mall.")
THE SOUTHERN
-- "Big 3" face difficult choice regarding bankruptcy - Pete Rosenbery
http://www.thesouthern.com/articles/2008/11/22/breaking_news/doc49276d4f350fb847990779.txt
CHICAGO SUN-TIMES
-- GM, Chrysler making deep cuts to hold on for loans - AP
http://www.suntimes.com/news/nation/1293413,gm-chrysler-loans112208.article
-- Shelby v. Levin: Why the South opposes Detroit bailout - Andrew Leonard
http://www.suntimes.com/lifestyles/1294128,CST-EDT-open23a.article
CHICAGO TRIBUNE
-- President-elect Obama keeps low profile on auto rescue, but pushes for action behind scenes - Jim kuhnhenn
http://www.chicagotribune.com/news/politics/sns-ap-obama-autos,0,7017212.story
-- Auto bailout collapses as Democrats tie further aid to Big 3 viability plan - Ken Thomas
http://www.chicagotribune.com/news/politics/sns-ap-congress-autos,0,1937741.story
-- Peter Fitzgerald was right "Sen. Peter Fitzgerald took a lot of heat from the media and the city when he opposed the O'Hare expansion. Now it appears that he was right on this issue along with a lot of other ones. Plus, he alone was responsible for bringing Patrick Fitzgerald (no relative) to Chicago as U.S. Attorney. For all his good work the Republican Party dropped him like a hot potato. No wonder many qualified people have no interest in serving our government." - Robert F. Hirsch, Chicago, Ill.
http://www.chicagotribune.com/news/opinion/letters/chi-081121hirsch_briefs,0,7486376.story
ABC7
-- Durbin: Patrick Fitzgerald has my full support - AP
http://abclocal.go.com/wls/story?section=news/politics&id=6519179
DAILY HERALD
-- Get real, Rod Gov. Rod Blagojevich is asking for the power to slice 8 percent of state spending without identifying his targets - and without any checks and balances. Huh? We were hoping that someday the governor would step up and show the state he could be the kind of leader who works toward consensus and compromises to represent the best interests of the state. Instead, he's acted more like a teenager asking for the keys the day after crashing the family car. - Editorial
http://www.dailyherald.com/story/?id=252801&src=
-- King, Lincoln were GOP; Obama isn't - Raymond Kohn, Wheeling
http://www.dailyherald.com/story/?id=252031
-- Scared that media giddy over Obama - David Webb, Campton Hills
http://www.dailyherald.com/story/?id=252246&src=
-- Obama election was collective suicide - Emilio F. Marcos, Geneva
http://www.dailyherald.com/story/?id=252249&src=
LAKE COUNTY NEWS SUN
-- $500,000 invested in new Lake County Web site - Craig Peterson
http://www.suburbanchicagonews.com/newssun/news/1293686,5_1_WA22_WEBSITE_S1.article
ILLINOIS REVIEW
-- Liberal Turkeys - Fran Eaton
http://illinoisreview.typepad.com/illinoisreview/2008/11/liberal-turkeys.html (Includes video clip)
TOM ROESER
-- Rahm Will be Prime Minister - Until He Either Quits, is Deposed - or Hit with a Potted Plant.
http://www.tomroeser.com/blogs/blogview.asp?blogID=24824
WORLD NET DAILY
-- Petitioners tell president-elect to prove his eligibility for office Thousands sign online demand, reveal frustration over secrecy - Bob Unruh
http://worldnetdaily.com/index.php?fa=PAGE.view&pageId=81698
BOYCOTT THE NEW YORK TIMES
-- New York Times Claims Obama Election a Defeat for Terrorism - Don Feder
http://boycottnyt.com/ny-times-claims-obama-election-a-defeat-for-terrorism/
WALL STREET JOURNAL
-- What Do We Really Know About the Uninsured? We should find out before Obama turns our health care upside-down. - William Snyder
http://online.wsj.com/article/SB122722921596746391.html
FORBES
-- Obama's Phone Verizon's nosey employees may have hurt the teleco more than the president-elect. "The records could demonstrate interesting details about Obama, such as his sleeping habits or how often he chats with wife Michelle or his daughters while on the road. Some calls--to, say, ex-Weatherman Bill Ayers or pastor Jeremiah Wright--might even be construed as unflattering if exposed." - Elizabeth Woyke
http://www.forbes.com/technology/2008/11/21/obama-cellphone-verizon-tech-identity08-cx_ew_1121obama.html
MARKET WATCH
-- GM board reportedly won't rule out bankruptcy
http://www.marketwatch.com/news/story/gm-board-reportedly-wont-rule/story.aspx?guid=%7B04AC4970-BC8E-4071-A268-25731499D81D%7D&dist=msr_1
TIME MAGAZINE
-- Rebooting the Right - Ramesh Ponnuru
http://www.time.com/time/magazine/article/0,9171,1860919,00.html
-- Don't Call It Bankruptcy The automakers are resisting Chapter 11. So what should we do with them instead? Call it "Conservatorship." - Justin Fox
http://www.time.com/time/magazine/article/0,9171,1860904,00.html
HERITAGE FOUNDATION
-- Auto Bailout Ignores Excessive Labor Costs - James Sherk
http://www.heritage.org/Research/Economy/wm2135.cfm
NEW YORK TIMES
-- If Bankruptcy Hits Detroit - Editorial
http://www.nytimes.com/2008/11/22/opinion/22sat1.html?ref=opinion
(THE EDITORIAL: Congress has given Detroit’s flailing automakers less than two weeks to come up with a restructuring plan that would justify giving them tens of billions of taxpayer dollars and ensure that they have a reasonable path back to profitability. We hope it is a good plan, because the lame-duck Congress does not have a choice. Michigan’s three car manufacturers have said that they would go bankrupt this year without an infusion of taxpayers’ money. Failing to provide it would be a truly irresponsible act that could obliterate one or more companies, potentially causing other bankruptcies and costing many hundreds of thousands of jobs. Unpalatable as it seems to underwrite the proven record of failure of Detroit’s automakers, Congress must provide sufficient money to shore them up until the Obama administration takes office. Then, the new president and new Congress can decide how to manage either a rescue package with tight strings attached or a bankruptcy process that ensures the fallen companies have a reasonable shot at picking up the pieces. Bankruptcy proceedings are designed to allow ailing companies to be restructured into profitable businesses, but that is by no means guaranteed - and it requires infusions of credit. In the current financial environment, where even the soundest companies are having trouble getting loans, the government would have to guarantee that financing is available so that any car company under bankruptcy protection could keep operating and paying its workers and suppliers while it is restructured. A bankrupt carmaker would face another tricky problem: how to keep consumers from shunning its cars out of fear that it might not be around to honor its warranty. Any bankruptcy financing given to a car company should be enough to buy warranty insurance to cover its fleet. None of this guarantees an orderly restructuring. A company in bankruptcy proceedings could try to avoid making tough choices and coast through on the government dime. Insuring warranties might create an incentive for the company and its workers to relax on quality control. But these concerns might be addressed by tying worker and executive incentives to car quality and establishing a ceiling for government bankruptcy credit. To get America’s carmakers back on their feet, difficult choices will have to be made - including cutting labor costs and the cost of health insurance. That is likely to mean selling off some product lines, laying off workers and closing the least productive plants. It could mean renegotiating the deal with the auto workers’ union to pay billions into a fund to cover retiree medical costs. Taxpayers will end up with a big liability even if the company turns around and is able to repay its debt to the government. The Pension Benefit Guaranty Corporation is required to cover a substantial portion of the underfunded pension liabilities of any bankrupt company. Economists Luigi Zingales and Joshua Rauh of the University of Chicago estimated that if General Motors were to collapse, underfunded pension liabilities would cost taxpayers roughly $23 billion. It would still be our choice that the restructuring of blundering auto companies occur in an orderly way and be combined with a national strategy to deliver more fuel-efficient cars. Congress, so far, has failed in its duty to help make that happen. What must be avoided at all costs is for a big car company to spiral into liquidation.)
-- Road Ahead Is Long for General Motors - Joe Nocera
http://www.nytimes.com/2008/11/22/business/22nocera.html?_r=1&8dpc
-- General Motor's Latest Great Green Hope Is a Tall Order - Micheline Maynard
http://www.nytimes.com/2008/11/22/business/22volt.html?em
ASSOCIATED PRESS
-- Democrats want details from automakers by December 2 for a bailout - Jim Kuhnhenn and Ken Thomas
http://www.kansascity.com/news/nation/story/903436.html
BLOOMBERG
-- GM, Awaiting U.S. Aid Decision, Will Idle Plants, Return Jets - Mike Ramsey
http://www.bloomberg.com/apps/news?pid=20601087&sid=a0ZU61nc9TH0&refer=home
PITTSBURG POST GAZETTE
-- Automakers' bailout bid is running on fumes - Don Hammonds
http://www.post-gazette.com/pg/08327/930009-84.stm
GOPUSA ILLINOIS
-- Roskam wants General Motors, Ford, and Chrysler to file bankruptcy, but Diersen disagrees - Dave Diersen
www.gopillinois.com
The wording that Congressman Peter Roskam used in his email survey that he sent his constituents on Friday, November 21, makes it clear that he wants General Motors, Ford, and Chrysler to file bankruptcy. The survey asks "What should Congress' first priority be when it convenes in January?" Seven of the eight possible responses are worded positively to encourage respondents to select them. But one response is worded negatively to discourage selection -- that response is "Bailout the auto industry." Everyone knows that "bailout" is a pejorative. Roskam staff in his Bloomingdale and Washington, DC officers have not responded to phone messages that I left for them. I have asked that the survey be immediately withdrawn. Alternatively, "Bailout the auto industry" responses should be given ten times the weight of any other response. Obviously, a response worded something like "Stop foreign companies from taking total control of what is left of America's auto industry" would be selected far more often. Roskam obviously agrees with those who argue that a) General Motors, Ford, and Chrysler management, the UAW, suppliers, creditors, etc. will never make necessary changes unless forced to by bankruptcy judges and b) having filed bankruptcy will not significantly impact the companies' ability to sell vehicles in the short run, medium run, or long run. I am one of those who believe that once an auto company files Chapter 11 bankruptcy, it is only a matter of time before it files Chapter 7 bankruptcy. Bankruptcy raises major concerns about future parts and service availability and the ability to meet warranty obligations. Roskam is a big fan of Obama, but Roskam grossly underestimates Obama's power and influence. Foreign counties, foreign organizations, foreigners, Democrats, and RINOs have given Obama enough influence and power that he can do just about anything now. If Obama wanted to, he could get the General Motors, Ford, and Chrysler management, the UAW, supplies, creditors, etc. to make necessary changes. But far more significantly, if Obama wanted to, he could get all those countries, organizations, and people who hate America to stop badmouthing American nameplate vehicles and to instead, start buying American nameplate vehicles. Soon, the foreign nameplate auto companies would go out of business, the American nameplate companies could buy up what is left of them, and once again, America would have control of one of its most important industries. If Obama would remind people that Colin Powell drives a 2005 Corvette, the stock market would soon hit 10,000. If Obama would start driving a 2009 Corvette, the stock market would soon hit 20,000. Just kidding.
