Post by CurtPost by kujebakI'm sorry, but the GM bondholders were screwed by
Obama and the labor unions, which is an entirely different
issue, that may have an even more profound and long-
lasting effect on the investment markets, but clearly has
has absolutely nothing to do with my point ;-)-
No. The GM bondholders were screwed by the GM management, who made the
decision years ago that they were going to continue building cars
people weren't going to buy.
Neither Obie nor the union had anything to do with that.
Curt
Really? How did the Union retiree health care fund
get ahead of the GM bondholders, and what did that
have to do with making lousy cars? Absolutely nothing.
Pure politics. Of course the GM management is
complicit in this mockery of due process. By making
such extreme concessions to the union in the 2007
contract inspite of dismal economic prospects for the
company at the time. Without the $30 billion retiree
"health care fund" the GM bondholders would now be
getting what they're legally entitled to - their own money
back, or a reasonable amount of equity in the company
in lieu of it. Instead they were vilified by Obama, and
offered pennies on the dollar. Now was that good politics
in light of the current state of the economy and the level
of the administration's effort to revitalize the private sector
as quickly as possible? Who, in their right mind, would
ever consider lending another dollar to a company like
that? Who would ever consider buying a car from a com-
pany like that? From now on, GM is for ever destined
to remain on the dole, regardless of what anybody says.