Sponsored

I still remember Ford took no 2008 bailout and I will finally reward them...

Efthreeoh

Banned
Black Diamond
Banned
Banned
Joined
Nov 6, 2020
Threads
5
Messages
1,672
Reaction score
3,090
Location
USA
Vehicle(s)
Hummer H3T
Your Bronco Model
Black Diamond
Sure! But the argument made was "took no money," not "didn't screw over the American people."
Here's what you are missing, as I remember it and evidenced in the article you linked to:

"Many argue that Ford needed the funds to sustain its cash flow during the recession. Ford says it was in better shape than the other two because it had mortgaged its assets in 2006 to raise $23.6 billion. It used the loans to retool its product lineup to focus on smaller, energy-efficient vehicles. It got the United Automobile Workers to agree it could finance half of a new retiree health care trust with company stock. By April 2009, it retired $9.9 billion of the debt it had taken out in 2006."

Neither GM nor Chrysler made such a critical business decision. Ford had the balls, two years a head of the 2008 recession, to basically mortgage the company to improve its product line and modernize it's production capabilities.

Personally, I really have no issue with the bailout. Uncle Sam turned to the private US auto manufactures to bail its ass out of WWII once Roosevelt decided on a whim to get the US into WWII after Pearl Harbor. Further, Nixon created the EPA and OSHA, which immediately injected themselves into the regulation of auto emissions and fuel efficiency and workplace safety, which were engineering nightmares to deal with at a time of global energy unrest and union labor unrest in the US. I am old enough to remember how those political decisions in the late 1960s affected the US auto products going into the 1970s, especially starting in 1973. While the cars of today have massively improved because of some of those political decisions, it wreaked financial havoc on the US auto industry that, in my opinion, it has never really recovered from.
Sponsored

 
Last edited:

Stitches1974

Black Diamond
Well-Known Member
Joined
Oct 4, 2020
Threads
3
Messages
854
Reaction score
1,234
Location
SW Florida
Vehicle(s)
2019 Dodge Challenger Scat Pack
Your Bronco Model
Black Diamond
Thread needs a title change, since Ford did take money, as mentioned in this thread.

@TripleB
 

BeerForMyHorses

Base
Well-Known Member
First Name
Jared
Joined
Aug 3, 2020
Threads
22
Messages
792
Reaction score
2,119
Location
Idaho
Vehicle(s)
Tacoma TRD Offroad
Your Bronco Model
Base
Clubs
 

PhoenixM3

Black Diamond
Well-Known Member
First Name
Jeffrey
Joined
Oct 14, 2020
Threads
5
Messages
484
Reaction score
797
Location
Colorado
Vehicle(s)
2019 GT350R, 2018 Fiesta ST, 2018 Fusion Sport
Your Bronco Model
Black Diamond
Clubs
 
https://www.thebalance.com/auto-industry-bailout-gm-ford-chrysler-3305670



The "bailout" money wasn't just free dollars, it was given in the form of loans that were to be paid back. The TARP loans given to GM were repaid (with interest) by 2010. Chrysler repaid most of their loans back and the treasury sold their remaining shares to Fiat. That left Chrysler about $1.3 billion in the hole.

So Ford took government money and paid it back, as did GM. Chrysler repaid all but 10% of what they were given.
yes, but GM screwed a buttload of investors (GM stock) where Ford did not.
 

Stitches1974

Black Diamond
Well-Known Member
Joined
Oct 4, 2020
Threads
3
Messages
854
Reaction score
1,234
Location
SW Florida
Vehicle(s)
2019 Dodge Challenger Scat Pack
Your Bronco Model
Black Diamond

Sponsored

BroncoMike

Well-Known Member
Joined
Feb 19, 2019
Threads
5
Messages
681
Reaction score
1,167
Location
Upper Norwegia
Vehicle(s)
'71 Bronco, '02 Excursion
Your Bronco Model
Undecided
Another facet of GM's bankruptcy that Ford didn't profit from is the liability reduction - GM was legally absolved of virtually all litigation-based liabilities when they woke up the day after bankruptcy was complete. Same people, same facilities, same products... but *poof*: sorry suckers, if you had a lawsuit in process, you're suing a company that doesn't exist anymore. We're "New GM"; the company you have a beef with is "old GM", which doesn't exist anymore. This exemption from successor liability helped "New GM" avoid billions in lawsuit exposure, much of which was product liability cases brought by consumers - e.g., selling defective products that caused consumers financial distress, or got customers injured and even killed. The same consumers who paid their taxes and ultimately funded their bailout/bankruptcy.
 

dingle87

Black Diamond
Well-Known Member
First Name
Reese
Joined
Jul 24, 2020
Threads
2
Messages
1,529
Reaction score
3,744
Location
West Suburbs of Chicago
Vehicle(s)
2019 Ford Explorer XLT
Your Bronco Model
Black Diamond
Clubs
 
Another facet of GM's bankruptcy that Ford didn't profit from is the liability reduction - GM was legally absolved of virtually all litigation-based liabilities when they woke up the day after bankruptcy was complete. Same people, same facilities, same products... but *poof*: sorry suckers, if you had a lawsuit in process, you're suing a company that doesn't exist anymore. We're "New GM"; the company you have a beef with is "old GM", which doesn't exist anymore. This exemption from successor liability helped "New GM" avoid billions in lawsuit exposure, much of which was product liability cases brought by consumers - e.g., selling defective products that caused consumers financial distress, or got customers injured and even killed. The same consumers who paid their taxes and ultimately funded their bailout/bankruptcy.
Whoa. I didn’t know this, that’s bs.
 

Mattwings

Badlands
Well-Known Member
First Name
Matthew
Joined
Jul 29, 2020
Threads
43
Messages
2,692
Reaction score
8,385
Location
Northville, MI
Vehicle(s)
2021 Badlands Bronco
Your Bronco Model
Badlands
Clubs
 
GM and FIAT also got out of a lot of legacy responsibilities to retirees, Ford did not. Ford has also not been implicated, to near the extent, of GM and FCA in the massive scandals related to collective bargaining, that we’re likely partially fueled by the government disbursements of company “stock” being disbursed to unions as part of the negotiations/compensation in re-organization. No person or company is perfect, but because the Ford family still has “skin in the game” they seem to be marginally more accountable then completely publicly owned entities (corporations have no sou, no judgement, just the way it is).
 

PSUTE

Base
Well-Known Member
Joined
Sep 25, 2020
Threads
15
Messages
3,130
Reaction score
8,165
Location
Western Maryland
Vehicle(s)
Sierra
Your Bronco Model
Base
GM to recall 7M vehicles globally to replace Takata air bags
GM will recall full-size pickup trucks and SUVs from the 2007 through 2014 model years, including the Chevrolet Silverado 1500, 2500 and 3500 pickups. The Silverado is GM’s top-selling vehicle and the second-best selling vehicle in the U.S. Also covered are the Chevrolet Suburban, Tahoe and Avalanche, the Cadillac Escalade, GMC Sierra 1500, 2500 and 3500, and the GMC Yukon

https://apnews.com/article/gm-recalls-7m-vehicles-globally-277b41b68a4c92eec5c2578808b5c26a
 

BroncoMike

Well-Known Member
Joined
Feb 19, 2019
Threads
5
Messages
681
Reaction score
1,167
Location
Upper Norwegia
Vehicle(s)
'71 Bronco, '02 Excursion
Your Bronco Model
Undecided
Whoa. I didn’t know this, that’s bs.
Yep. My elderly neighbor had an '07 Impala that wore out rear tires about every 4000 miles. It was a known defect that GM quietly took care of on law enforcement vehicles. But the regular folks? "Oh, that was 'Old GM'. Not our responsibility". That's a fine thank-you for the bailout supplied by the American taxpayer.

https://www.motortrend.com/news/sue...s-tires-on-2007-2008-chevrolet-impalas-93315/

https://www.reuters.com/article/gm-impala-lawsuit-idUSN1E77I0Z820110819

https://www.thestreet.com/markets/m...ptcy-judge-stays-lawsuits-against-gm-13167545
Sponsored

 
 


Top