Tuesday, May 07, 2013
Results Of Obama's Bailout -GM To Build New Cadillac Plant - In China
“I said, I believe in American workers, I believe in this American industry, and now the American auto industry has come roaring back,” he said. “Now I want to do the same thing with manufacturing jobs, not just in the auto industry, but in every industry.
“I don’t want those jobs taking root in places like China, I want those jobs taking root in places like Pueblo,” Obama told a crowd gathered for a campaign rally at the Palace of Agriculture at the Colorado State Fairgrounds here. - President Barack Obama, on the campaign trail 2012
"I've got a little bumper sticker for you: Osama bin Laden is dead and General Motors is alive." - Vice President Joe Biden, speaking at a union Labor Day rally,2012.
The American taxpayer, courtesy of President Barack Obama, bailed out GM. Or more accurately wiped out private equity holders (including a lot of retirees who were holding GM stock and bonds as a big part of their retirement)and gifted the company to the president's union political allies.
The cost was actually a lot more than people realize.
The losses alone on the devalued stock the feds are holding came to over $16.6 billion...not counting the $26.4 billion in direct aid that's never been recouped and never will be.
There's also that $45.4 billion dollar tax credit against future profits at the American taxpayer's expense given to them by the Obama Administration that could keep GM tax free for years.GM earned a $7.6 billion 'profit' in 2011 but paid no taxes.
And to make the whole thing even more ironic, those deluded union workers who cheered what the president and his VP had to say didn't even end up with most of the jobs that were supposedly saved.
GM has just announced that it is enlarging its already sizable car making operation in China to include a big new plant for Cadillacs.
That's essentially what the American people got for their over $88 billion dollar bailout of GM - a cheap, misleading slogan, a large payout to union coffers and an increase in China's employment and industrial capacity.
Oh yes, and some poorly designed and downright dangerous electric cars.