ALERT: GM BANKRUPTCY IMMIMENT? - Detroit S.O.S.
by Schlemm, Fri Mar 31, 2006 at 08:17:06 AM EST
Detroit, MI - The headlines from Detroit are grim today. Delphi Corporation, the largest U.S. auto supplier, is going to bankruptcy court today in New York City with a reorganization plan that will include: the calculation of its union contracts and the elimination of retiree medical and life insurance benefits, according to today's Detroit Free Press.
IS THE REST OF THE COUNTRY REALLY PREPARED TO LET GM GO BANKRUPT?
"A GM default would be absolutely huge," said Jonathan Loredo, credit manager of Cairn Capital. "It would be the biggest thing to hit the market in terms of losses and operational stress."
There is no understating the scale of GM's problems. It is losing market share in the United States, has $300 billion of long-term debt, provides health benefits to 1.1 million people (at the rate of about $1,500 per car produced), is threatened with a strike by its largest supplier, which is bankrupt, and is being investigated by the Securities and Exchange Commission.
THERE IS A CRISIS OF LEADERSHIP WITHIN THE FEDERAL GOVERNMENT TO HELP THE U.S. AUTO INDUSTRY...WE NEED LEADERS WHO WILL CARRY THE CHARGE
Nancy Skinner is running for U.S. Congress in suburban Detroit (the home district of most management, executives and a huge part of the workforce). Skinner has been endorsed by the UAW and she has a plan that will inject new life into the auto industry.
DETROIT'S GREEN PLAN
Hybrid tax credits that will equalize the cost of a hybrid with a conventional engine. $3000 for a conventional hybrid, $6,000 for a plug-in vehicle.
A government purchased fleet of 50,000 hybrid vehicles.
These greener, technologically superior vehicles will meet the world market's demand in a global environment where oil supplies will continue to grow scarcer.
The warnings from energy analysts must be heeded. This vision to meet the future head on will result in:
Reduced dependence on Mideast oil and rogue regimes like Iran who threaten to withhold oil with resulting economic shocks as a way to pursue their nuclear ambitions.
An increase in jobs and economic prosperity for American workers and corporations.
A vast reduction in greenhouse gases that are already causing climate related disasters such as stronger hurricanes, increased flooding and prolonged droughts.
WILL YOU SEND A MESSAGE THAT YOU WANT LEADERSHIP ON THIS ISSUE BY SUPPORTING NANCY TODAY?
Michigan's 9th district is a 50/50 split. The DCCC and EMILY'S List have targeted this seat as a potential pick up. We will need their support to take out Joe Knollenberg. But to do this we have to meet our quarter one fundraising goal. The quarter ends FRIDAY MARCH 31. We need your immediate financial support to make this happen. To contribute go to www.skinnerforcongress.com