Reply to "The Bailout..."

All excellent points.

Here are a couple of other thoughts not regularly kicked around when this issue is discussed.

Recently, within the last two years, GM, Toyota, and Honda announced that they would close plants in the continental US and move all manufacturing or at least assembly to Canada. The reason coming mostly from GM with the other two agreeing, that Canada had universal health care. The US does not.

That would free up more then a sawbuck for GM in their underlying cost. I thought that this was largely a lobbying manuever by GM but I think it is a valid point and tied into this entire mess. Particularly with Obamas stand on healthcare in the campaign.

The second point is that there is no way to get out of the pension load except chapter 11 and then liquidation. I don't know if the figure heads like Mullaley would admit to that but I bet that there are people on the board that would love to dump everyone and cash in their own preferred stocks.

My own personal belief is that at this point the US is swaying like an aged heavy weight champ and if he goes down there are two many people going to go down with him (including me). This won't be just liquidation of the big 3, this will be liquidation of the US itself.

This is a fight to the death, figuratively speaking that is, and it is for all the marbles. Maybe even basic life itself. There is no place for anyone to hide and the US isn't immune from violence in the streets with mobs chasing the Aristocracy and dragging them to the Guillatine.

The safest bet now is to at least delay the fall and get the 3 out of the winter sales drop into the spring. In the spring perhaps some of the dead wood can be cleaned out and some new crop will come up?

There is always hope and hope is a good thing. Perhaps the best of things.

There is now no alternative but to grow the economy out of this mess to pay for everything. I personally am betting on Ford and GM stock not to stay at $3 a share. There are some people that will make money out of this. A lot of money. Hopefully it isn't going to turn into a WWI Germany scenario where a cup of coffee and a buttered roll will cost you $100,000? Isn't that an interesting thought?