This is a Gulfstream G-IV long-range business jet:
This particular G-IV belongs to General Motors, maker of such products as the Corvette and the UAW’s steady destruction of Michigan.
Yesterday, GM honcho Rick Wagoner got on his shareholders’ $6,000/hour jet and flew to Washington. Unfortunately, Gulfstream builds a better product than its customer does, and Wagoner arrived safely.
Upon his arrival, he demanded that the government seize your money and give it to him so he can make Important Business Decisions like whether to have Beluga or Sevruga caviar on the flight home. (Both).
In the time it took me to write this post, General Motors lost $700,000.
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40 Responses to “Big Three execs alight from jets, demand your money”Search
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Beautiful Aircraft, I was a Tech Rep at the Savannah factory when the first G 3 rolled off the line.
Why doesn’t the so-called Big 3 just declare bankruptcy so that they can renegotiate their bloated union contracts. Passing on those overpaid union assembly line salaries to the consumer has finally caught up with them. NO BAILOUT for the so-called Big 3, let the economics of it all flow thru the natural course of doing business in our supposed “free market” society.
If you BAILOUT one, they will all just start getting in line. And we should definitely not BAILOUT any city or state. They can do what the rest of us do, OPERATE ON A BUDGET!!!!!!!
The Big 3 is just doing all they can to aid BHO in nationalizing the auto industry, as well as the banks. Fidel and Hugo will have a nice place to sleep over in the Lincoln Bedroom. Maybe GM could give Castro and Chavez a lift when they go to visit Hussein in the White House.
as mentioned in today’s OC, number 17..!
those fellas suffer for their craft don’t they?!
If they give a bailout to these auto companies I will not buy another American made car ever again. Its insane to think we are going to bail out the unions of these companies.
I wonder if they can get another bailout in 5 yrs because Americans boycott and stop using their product.
Nice gesture. This site sinks a bit lower all the time.
Now hold on there a minute, Matt.
I have gotten some emails from General Motors in which they are asking people to call their congresscritters in support of them. They claim that they are asking for a $25 billion LOAN, not a $25 billion HANDOUT. As in, they plan on paying the money back.
So, a $25 billion loan, which will “save” an industry which generates hundreds of billions of $ in tax revenues each year, when you consider the widespread impact of it all, versus letting them all go under?
I think we ought to loan them the money. We might as well; it’s not like they’re asking for $700 billion.
About them using a jet to get to Washington: Yeah, they could have flown commercial, but these guys have busy schedules I’m sure, since they’re busy running their companies. (into the ground)
#3 I truly hope you’re just joking.
Bush and hoards of republican congress critters have supported big government meddling in markets for years, all the while cheerfully ignoring sound economic advice that eventually, the bubbles they were blowing would burst.
It’s just plain stupid to try and blame this latest episode of our bipartisan headlong plunge into socialism exclusively on Obama and the dems.
Over the last 7+ years, President George W. Fumble Duck has harmed fiscal conservatism far more than the dems could ever hope to, simply by forcing otherwise rational republicans to go along with his insane economic plans.
61 Days and counting… I’m not looking forward to an Obama presidency, but I honestly can’t wait for Bush to dry up and go away.
Oh, come on. It was a joke. I don’t want Rick Wagoner to die in a plane crash. Being torn to shreds at the next GM annual meeting would be more just.
Would you buy a GM corporate bond today? That’s a serious question. If you think that a $25 billion loan will save GM, allowing them to return to profitability, you should buy those bonds.
If it’s a bad investment for you, it’s a bad investment for me too.
The $700b plan carries an automotive $25B loan for green retooling. Congress wants to allow the automakers to use it for other things. The administration is resisting. The previous thread addresses Congressional effort.
in addition to the $25B loan in the bill, the automakers want another $25B loan to pay off debts. GM’s renegotiation of the UAW contract requires them to shift the burden of healthcare to the union. The plan is underfunded $50B, the deal calls for GM to put $25B in the fund and they call it even. Health plans are not underwritten by the government like the pension plan is.
I would call loaning $25B to a company that declares bankruptcy a BAILOUT.
Meanwhile, UAW president Ron Guttelfinger arrived at the same hearing in Washington, D.C., riding on the backs of 500 out-of-work UAW members, sworn to live-and-die at his command.
This whole thing is political theater at best. UAW will fight tooth-and-nail against letting the Big 3 enter court-supervised reorganization, A.K.A. “bankruptcy”, because collective bargaining agreements will be the first thing put under the microscope and subsequently thrown out as harmful to health of the company.
GM execs will go along with UAW’s position because WHAT THEY REALLY, REALLY WANT is for Uncle Sam to relieve them of the burden of providing HEALTH CARE.
So, Big Business and Big Labor are teaming up to lobby Big Government to begin providing universal health coverage. “O” is beholden to Big Labor for their part in getting him elected, so he, along with all the other dimwits, now armed with 60 seats and cloture, will proceed to do just that. Hold on to your wallet.
With what? How can they afford loan payments when they spend money three times as fast as they make it? This sounds like “housing loans for everybody” all over again. Any money lent to them is as good as gone the second it leaves Uncle Sugar’s hand.
What disgusts me the most is the Congressional hearings are all just sound and fury signifying nothing. Congress will pretend to be concerned, then they will cave in as usual under the guise of doing what’s best for the country. In fact, I’ll bet a six pack of my finest homemade beer against a bottle of stale Lone Star that the Big 3 will get their money. Constituents’ wishes be damned!
Romney has it right. Giving them money is fiscal suicide. When they get it, they will never return to profitability. The Detroit money junkies will have their cash fix to get them through the next few years, and will therefore never have any compelling reason to change. And we will be left holding the (empty) bag. As usual.
A republican senator from Oklahoma has introduced a bill that would freeze the $700B bailout (which includes the $25B for Detroit) until the Treasury and the Fed become more transparent about how their actually using it. The senator is still supportive of the administration’s effort to selectively nationalize huge portions of the economy, so this is a baby step, but at least it’s in the right direction.
I wonder if big bad John will support the bill.
Meanwhile, congress critters that can actually spell sound economic policy are still making a lot more sense than the socialist republicans and socialist democrats who are bound and determined to destroy what’s left of the free market system in favor of big government centralized control.
What’s the matter with me?
I just can’t seem to rustle up any indignation over these guys flying in the company plane.
Shannon, you’re not getting on board. Outward trappings of success are now prohibited and should be derided at every turn.
In all honesty, corporate jets are a fixture in corporate America for execs. For a multi-billion dollar company, assuming they’re profitable, nobody cares. It is a drop in the bucket.
In bad times, perhaps GM should hangar them. Or sell them. Or whatever. But I’m like Shannon. The worst these jets should be viewed as is an excessive expense when times are bad. Unless we’re still playing the politics of envy.
Oh, and if GM put these jets on Craigslist tomorrow and laid off the supporting staff, they’d still be screwed.
Whew! Thanks, jimb.
I was beginning to think I had become jaded……uh, I mean cynical…..uh, I mean sympathetic to The Man.
Down with The Man!! Down with The Man!!
Well, if you didn’t catch the last line in my comment above, I don’t think the $25 billion “loan” has a good chance of being paid back either.
They ought to have to file bankruptcy so they can renegotiate ALL their deals and then perhaps they can return to profitability.
Ever hear of the GM “Job Bank”? That’s where they pay a few thousand workers to go sit in a room all day, not working on a thing, while getting paid their salary. This is thanks to the deal they made with UAW. How can any company expect to make a profit when they are required to do stupid stuff like that?
I sure hope they don’t go under, because I would really like a Suburban for Mrs. Astro and one of those new Camaros for myself.
Did somebody say Camaro? I’d love to own Bumblebee!
Whatever works. Red meat for the Democrat and Republican base. I bet they get fancy haircuts and wear expensive clothes also.
I’ve got an idea. For the bailout money for the Big 3, why don’t we put Sarah Palin in charge of that. First thing she’ll get rid of is those jets! Probably their executive chefs and drivers too.
Unions for the airlines had to make concessions to prevent airlines from going out of business. Why doesn’t Rick Wagoner grow a pair and stand up to the unions and tell them (we feel your pain) but if GM and UAW want to survive both have to make concessions. Wagoner should lead the way by dropping his salary to $1.00/year until GM becomes profitable again (no stock options or benefits of any kind). The head thug at UAW should do the same.
Frankly I get tired of having to have my money confiscated so incompetent A$$s can maintain their higher than need be standard of living. It is not my responsibility to ensure every union member a quality lifestyle. No one every guaranteed mine.
Mike Gallagher was on this topic today. He agrees with Shannon. These guys are big important execs and they use this type of travel. I like common sense, myself. Perception is part of the entire picture. Guys flying in on gas guzzling private jets when they are screaming their companies are going to fold, does not conjure up a picture of exec’s who are scared to death. They should be scared to death and acting, I said acting, conservative in their spending. Didn’t we already give them a hand out in September? Let em declare bankruptcy, sell off assets, re-negotiate work contracts and carry on……….minus the execs who make poor decisions.
Park the jets!
Now don’t be pulling out NASCAR though, thats crucial stuff going on right there.
Bunch of arrogant bastards. Let ‘em belly up!
Park the jets on Ebay as Sarah Palin did the Alaska government’s plane. He he he.
If these execs fly these planes because I or others chose bought their products, I’ve no problem whatsoever. If they fly them because they get money that was taken from me and others, than I have some issues.
That’s crap.
Thye want $25b in addition to the “green” loan.
And it’s Republicvansin congress who want to repurpose the loan, and it;s the Deomcrats who are resisting.
This isn’t MSNBC.
Is there some sort of reading problem?
in addition to the $25B loan in the bill, the automakers want another $25B loan to pay off debts.
The Bush administration refuses to repurpose the loans - read the story in the Congress Sucks thread about Democrat attempts to spin the intent.
In a new development after my original post and in light of White House intransigence, the Republicans are gathering support from Democrats in key states to change the legislation and allow the auto companies immediate access to the funds.
It appears that neither side has the votes today to force the issue.
This will change tomorrow as other approaches are made, try and keep up.
Here’s a great article written by Mitt Romney. He nails on the head how to get rescued. The man knows business.
Article.
It’s by far the best plan I’ve heard on the Big Three.
Can’t argue that the man knows his business, he’d be a good choice for Secretary of the Treasury. But I got to wonder
It’s going to be tough to tell American companies and investors how to conduct business, one could even speculate whether it is the government’s business.
Romney speaks of a managed bankruptcy, is he referring to a regular chapter 11? bankruptcy or a government intervention like Chrysler in ‘79?
Yes, yes, yes!
So if the Big 3 have to go into bankruptcy, are all union contracts out the window?
If so, no wonder the pressure is turned up to the max by both camps.
I still say send air fresheners to your congressmen. Why isn’t that catching on?
Shamaal;
I’ve no idea what levels of bankruptcy exists so I’ll just say, “sure, the Chapter 11 one.” I think the point of Romney, and I’ve hear very similar talk of this on KSEV, is to go into bankrupcy in order to restructure everything. That includes all the deals made to the unions. Any business man would be insane to even attempt to operate as is under an obligation that would require $25,000,000,000 just to cover health benefits.
Mangement that sucks is only one point Romney makes.
No matter how hard the medicine will taste, they’ve gotta take it or they’re finished.
He’d make a great President too.
You will get no argument from me.
Absolutely, along with warranties, and money owed creditors. The assets are sold off. First in line is the federal government to save the pension plan, next is the unions to save their health plan, then other creditors as determined by the court.
Or they could get creditor protection and reorganize. Union contracts would go, but I do not think the courts will let them get away from funding the health plan like they promised. Still stranger things have happened. Like pointed out earlier, Congress is fighting over who gets credit for giving them money. If neither side can gain the votes, nobody gets bailed out.
Anyone notice my posting yesterday about China giving the go ahead to purchase GM and Chrysler?
Why not use their jets as a trade-in for a fuel efficient automobile built by their companies? They should not have any car notes and could drive one of those new hybrid vehicles or they could purchase one of the Toyota or Honda ones from the Japanese. Just a silly thought.
I watched the hearings today and one of them was asked if he could handle $1 salary and he responded he would be doing it. The other two (not sure which ones) said things were not going to change. It was a “yes” or “no” question, but the two of them dodged that simple answer. Now, if they can’t answer a simple question I wouldn’t be bailing them out.
Reading’s fine.
So’s the math,
25 billion in addition to 25 billion is 50 billion.
#37 sarge
I said $25B green loan and they want another $25B loan
You said crap and pointed out this isn’t MSNBC. {#28}
In the next reply in a feat of mathematic mastery the two figures were actually added together. {#37}
Maybe Keith Olberman adds the sums in his head and provides them for his viewers, keep us posted. I assume the reader can do his own sums.
GM Opens New Plant in Russia
LTC;
I’d be opening up plants outside the US too were I GM.