Should the US bailout the big three automakers?

[Dan40]

Is it true the Toyota and Chevrolet are teaming up to build the "TOYLET"?

Dan

[gsharapa]

Looks like Toyota is sinking also..........

NASHVILLE -- Toyota Motor Corp., with its sales plunging in the United States, is freezing its plan to build the Toyota Prius in a new plant near Tupelo, Miss. For how long? The automaker doesn't know.

Toyota's board in Japan reached the decision late today to halt the project "due to the steep decline" in U.S. sales.

Sales of the hybrid car have softened in recent weeks as gasoline prices dropped from a summer spike of more than $4 a gallon. The Prius sold 8,660 units in November, down from 16,737 in November 2007.

Total Toyota sales in the United States fell 32 percent in November.

This is the second time Toyota has changed plans on the $1.3 billion Mississippi project, which already has begun to draw component suppliers to the area.

In February 2007, Toyota announced it would spend $1.3 billion there to produce a new generation of Highlander crossovers. But after Toyota broke ground, SUV sales began to soften. In July of this year, Toyota said it instead would build the Prius there.

A spokeswoman for Toyota's North American manufacturing operations says the company will continue constructing the building, which is about 90 percent complete. The company made its decision today before it had begun ordering the equipment that would go into the plant.

Toyota has no timetable to resume the project, the spokeswoman says, but it will remain a Prius factory whenever the project restarts

[Dan40]

Fred Thompson splains it all!

http://blip.tv/file/1528079

[nevermind65]

I just visited a first tier supplier for Honda yesterday. By their predictions, they will be at 24 hours/week by the end of January. They will not lay anybody off.

Honda has some cars (Pilot) that have a 6 month reserve on the lots. Even the famed Accord has over 90 days inventory now.

It is getting ugly for them all.

[speed220mph]

David Cole lays out the cost benefit of "bailing out" the domestics on Autoline Detroit #1242. It's one of the best non-biased explanations of the consequences of Chapter 11.

Check out the discussion with John McElroy:
http://www.autolinedetroit.tv/show/1242?play

[Don]

An article in USA Today a few weeks ago mentioned the ports of Long Beach and LA had run out of room to store the number of imported cars that had been intransit.

Additional storage acreage was being rented. Adding to the overflow of cars was the Dealers stopping the transfer of the cars to their sites.

[CobraDan]

[will butterwort]

you are right on--this effort by the uaw if passed will give them direct access to the us treasury, the ultimate golden goose,.The uaw is and all american workers are competing in a world labor pool/market and some rethinking must be done by all of us. Two years ago when trade agreement came up with China,American Footwear industry wanted me to do an economic analysis of what we would loose if China was favored in that agreement.The study went to congress and American Footwear prevailed there when the agreement was renegotiated,but guess what, just yesterday one of our larger footwear manufacturers announced they were moving to Honduras.We are now competing in a world labor market and they are cheaper than we are. Will-alabama

[sparks]

Mr. 428 street, A gov, city or state funded jobs are very comonly prevailing wage jobs. Being a buiss. owner you should have known this. Price fixing , no. Fair shake, yes. To be honest union contractors dont charge that much more than (open shops)not good one's..So if that would have caused you to charge $70 more than usuall ,you must charge the cust. around 40 an hr... Boy you must take care of your guys real well% Somethin' fishy w/ your post...I know ,its full of sheet....If your bidding against other contractors who have the same expences as you you should be ok, unless you dont have enough faith in your guys? You shouldnt need to base your profit on the amount you pay your guys but the speed and quality of which they perform. 9 outa 10 times my IBEW boys will run circles around use guys(even more on big comercial jobs). No offence but I think you r just BSing to to spew your anti union crap.

[Dan40]

Originally Posted by speed220mph

David Cole lays out the cost benefit of "bailing out" the domestics on Autoline Detroit #1242. It's one of the best non-biased explanations of the consequences of Chapter 11.

Check out the discussion with John McElroy:
http://www.autolinedetroit.tv/show/1242?play

Maybe the people on that show truly believe what they are saying. Maybe they don't, I do not know. But I do know that the host AND the guests, 100% RELY on the AUTO INDUSTRY for their livelihoods. Thus their opinions cannot possibly considered unbiased. I'm not saying they are right OR wrong. But they are not unbiased.

Dan

[Don]

The cost reduction initiatives continue, but at some point in time a business needs to increase revenues, otherwise the downward spiral is only being delayed,......... note the last comment.


Source: Auto Week:

Despite adamant denials from General Motors road-racing boss Steve Wesoloski, anonymous sources insist that Corvette Racing will skip the 2009 24 Hours of Le Mans as the operation looks to cut costs by focusing solely on its move to the GT2 class in the second half of next season.

Corvette Racing's original plan for 2009 calls for the team to race its two GT1-class C6.Rs at the Mobil 1 12 Hours of Sebring to open the American Le Mans Series season, followed by appearances at Long Beach and Le Mans. The team would then contest select races in GT2 to finish the year, before a full-season GT2 effort in 2010. However, sources say that word came down recently to reduce the racing budget, and that cancellation of next year's GT1 outings is the solution.

But Wesoloski answered a call from AutoWeek on Thursday by saying, "It's not true" in response to the rumor, which was published first this week in the British racing magazine Autosport.

"We are still going ahead with our plans for a reduced program of Sebring, Long Beach and Le Mans," he said. "No one has come knocking to tell me otherwise.

"We are, of course, prepared for all eventualities. It all hinges on what happens in Washington [with financial bailout talks]."

At first glance, eliminating Le Mans from Corvette Racing's schedule seems unlikely. The team's budget is in place for next year, and contracts with sponsors and partner Pratt & Miller are in effect through 2010.

Wesoloski did not completely dismiss the possibility of pulling the plug on Le Mans--if indeed he is ordered to slash costs.

"[The 2009 GT1 operation] would be the place to start," he said. "[But] the difficulty is our sponsorship commitments. Due to the international exposure of Le Mans, it might end up costing us more not to do it."

Speaking at a GM press event in Detroit on Thursday, a high-ranking GM official said the company would quit NASCAR before it quit Le Mans.

[RedBarchetta]

Originally Posted by Don

Speaking at a GM press event in Detroit on Thursday, a high-ranking GM official said the company would quit NASCAR before it quit Le Mans.[/i]

Can't blame them...no brand recognition with those "cars of tomorrow" that are a joke. At least at LeMans you can tell them apart (better).

Also, just because you have a budget for something doesn't mean you have the cash to SPEND on it.

[RedBarchetta]

NEWSFLASH

Did anyone else pick up on this?

http://www.cnn.com/2008/POLITICS/12/...bor/index.html

Undoubtedly chosen by Obama to watch the backs of the UAW. This nomination just pisses me off to no end. Our U.S.-based factories will NEVER be competitive on a global scale with this lady pulling the strings. This gal is THE Liberal poster child.

I'll go out on a limb and wager that the C7 (next gen) Corvette will not be built in Bowling Green...more like Beijing once this lady starts rattling everyone's cage about protecting this and protecting that. The Big 3 will never be cost competitive with Labor Secretaries like this at Obama's side.

Atta boy, Obama. You just prolonged the agony that a free market economy is more than capable of fixing on its own. Bad move.

[Jamo]

Tell me about it.

[PatBuckley]

Well, I see Stupid George has just decided to bail out the unions.

Is it too late to impeach the Bastad?

[What'saCobra?]

W is so bloody concerned about not leaving O'Bambi-shine (something like Sunshine) any "difficulties", he throws away our first opportunity to smack-down the UAW in over 50 years. Time and events will take these companies to "disorderly" re-organization under CH 11, soon enough. This is called, "kicking the can down the road".

Meanwhile, W continues to screw any new Republican leadership in the Congress and Senate and the People's Will, as expressed by that Congress and Senate.

W was no communicator, in almost every sense of the word, including a failure to use the internet to explain his detailed views, frequently expressed but not published by the anti-Conservative media.

i guess "compassionate conservative" meant moderate but big-spending Republican, pro-American but anti-confrontation at home. He threw away both houses and the Presidency. i thank him for his military leadership, but think he has completely knuckled-under to Wall-Street-Blues, much against free-market capitalism, pro-government control and intervention, but tread-softly on the Congress, lest they get angry.

Not unlike W's desire to rehabilitate Clinton by including him in all sorts of International events, all of which then paid BJ huge sums to his Lie-Bra-ry, expecting his wifey-dear to become Mrs. President (which has been unavoidably delayed).

i am so pissed i could spit, except this is another new keyboard.

[RedBarchetta]

Originally Posted by What'saCobra?

Clinton... his Lie-Bra-ry...

[rbray]

Originally Posted by What'saCobra?

W is so bloody concerned about not leaving O'Bambi-shine (something like Sunshine) any "difficulties", he throws away our first opportunity to smack-down the UAW in over 50 years. Time and events will take these companies to "disorderly" re-organization under CH 11, soon enough. This is called, "kicking the can down the road".

Meanwhile, W continues to screw any new Republican leadership in the Congress and Senate and the People's Will, as expressed by that Congress and Senate.

W was no communicator, in almost every sense of the word, including a failure to use the internet to explain his detailed views, frequently expressed but not published by the anti-Conservative media.

i guess "compassionate conservative" meant moderate but big-spending Republican, pro-American but anti-confrontation at home. He threw away both houses and the Presidency. i thank him for his military leadership, but think he has completely knuckled-under to Wall-Street-Blues, much against free-market capitalism, pro-government control and intervention, but tread-softly on the Congress, lest they get angry.

Not unlike W's desire to rehabilitate Clinton by including him in all sorts of International events, all of which then paid BJ huge sums to his Lie-Bra-ry, expecting his wifey-dear to become Mrs. President (which has been unavoidably delayed).

i am so pissed i could spit, except this is another new keyboard.

exactly my feelings!!!!
This is sad beyond belief.

[Dan40]

George Woeful, is now tied with Jimmy 'the peanut' Carter as the worst in modern times. Maybe all times.

If you take 17,500,000,000, $1.00 dollar bills, pile them up and set them on fire, how large would the 'bondfire' be????

No need to call the DCFD. The money will just vanish, forevermore.

Dan

[RedBarchetta]

I love the condition they set on the $17.4B loan. If they don't have a reasonable game plan in place by March 31, they have to pay it back.

With what, spare parts for a '98 Camaro?!? Hellooooo! Mr. Government, we're not THAT stupid!

I now know what organized crime truly looks like. And it's not guys named Guido and Bennie wearing warm suits and lots of gold.