Posts Tagged ‘Chrysler’

Chrysler repays loans!!!

May 24, 2011

Finally, a story with a happy ending!!!  Chrysler is repaying the loans that the USA and Canada provided for them to remain in business.  A few quotes from the article:

“Chrysler Tuesday paid back $7.6 billion in U.S. and Canadian government loans from its 2009 bailout, a move that allows the U.S. automaker to distance itself from an unpopular bailout and deepen its ties with Italian automaker Fiat SpA.”

“The automaker said it repaid the original loans in full, more than six years ahead of schedule. Under the original terms, Chrysler had until 2017 to repay the debt.”

Isn’t that fantastic!!  Finally Chrysler and its 66,409 employees are finally turning things around.  I had written a previous article that was not to happy with the “bailout” of Chrysler, and I am still not convinced that the loans/bailout + interest have been accounted for.  But, it looks like they have tried to do the RIGHT thing.  One more quote from the article:

“The U.S. Treasury said it continued to hold a 6.6 percent common equity stake in Chrysler, but it did not expect to fully recover its remaining outstanding investment of $1.9 billion in the automaker.” (emphasis mine)

Wait……..by my calculations the 66,409 employees get to keep $1.8 BILLION of YOUR dollars!!!  That is $27,000+ each.  See, don’t you feel better knowing that YOU saved Chrysler, and it ONLY cost you $1.8 BILLION, that the Treasury does NOT expect to recover?  Doesn’t that make you feel good??

And, wouldn’t you know it, the President is HAPPY and telling about the good job he has done!!  I am sure there are at least 66,409 people who agree with you Mr. Obama, however I am NOT one of them.  Do NOT say that you did a good job GIVING my money away!!  Get it back + interest!!

OK, maybe that was NOT a happy ending.  The soonest I see a happy ending happening is 2012!

Chrysler bankruptcy??

May 4, 2009

Let me start this blog by stating that I own a Chrysler vehicle.
I do have a problem with Chrysler, a PRIVATE company, declaring bankruptcy, NOW.

Why was it not OK for them to declare bankruptcy BEFORE the $4 BILLION that they received from US, you and I???

According to SmartBrief, Chrysler employed 66,409 people in 2007.  (These are the latest numbers I can find, if you have newer numbers, let me know, please.) 

I have NOT received a thank you note from ANY of those employees.  And by my calculations they each received $60,232.80 ($4,000,000,000/66,409), on top of their regular pay.  For THREE months work.  And apparently that work was not good work, because they STILL need to declare banruptcy.  If you are an employee, and did not receive your check, see your BOSS.

WHEN will THEY pay US back?  At this point I will be happy with $4 Billion.  They can keep the interest, which by my calculations would be $5 MILLION, if they just deposited this money in a local bank, earning 0.5% APR.

Thank you Obama, you OBVIOUSLY know a good business when you see one.