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Archive for the ‘bailout’ Category
Nancy Pelosi has just released a statement regarding rising gas prices:
Washington, D.C. – Democratic Leader Nancy Pelosi released the following statement today on the rising gas prices across the country:
“Independent reports confirm that speculators are driving up the cost of oil, hurting consumers and potentially damaging the economic recovery. Wall Street profiteering, not oil shortages, is the cause of the price spike. In fact, U.S. oil production is at its highest level since 2003, and millions of acres have been cleared for additional development.
“We need to take strong action to protect consumers from this speculation. Unfortunately, Republicans have chosen to protect the interests of Wall Street speculators and oil companies instead of the interests of working Americans by obstructing the agencies with the responsibility of enforcing consumer protection laws. They have also repeatedly opposed our efforts to end billions of dollars in outdated taxpayer subsidies for oil companies enjoying record profits.
“We support efforts by the Obama Administration to expand domestic energy resources, including natural gas and renewable sources like wind and solar that create jobs in America and will end our dangerous dependence on foreign energy supplies. This can be achieved because today, the United States currently has more oil and gas rigs at work than the rest of the world combined, and imports of foreign oil have decreased.
“We call on the Republican leadership to act on behalf of American consumers and join our efforts to crack down on speculators who care more about their profits than the price at the pump even if these spikes harm the American consumer and our economy.”
Former Speaker of the House–and current Minority Leader–Nancy Pelosi apparently bought $1 million to $5 million of Visa stock in one of the most sought-after and profitable initial public offerings (IPO) in American history, thwarted serious credit card reform for two years, and then watched her investment skyrocket 203%.
The revelation appears in Throw Them All Out, the new book by investigative journalist and Breitbart editor Peter Schweizer, which was the focus of 60 Minutes on CBS this evening, and which is featured in this week’s issue of Newsweek.
In Pelosi’s world, profiting from speculating on commodities is evil and is anti-American. However, front-running a Visa IPO and bringing in a 203% return is completely fine.
The Mayor isn’t even sure why Pelosi is against high gas prices. Steven Chu, Barack Obama’s Energy secretary, is all for it: “Somehow,” Chu said, “we have to figure out how to boost the price of gasoline to the levels in Europe.”
Relax, gas is only $8 -$10 in Europe.
Heck, if Pelosi is against high gas prices, she’s even at odds with her master, Barack Obama:
When asked whether he thought $4-a-gallon gas prices were good for the American economy, said, “I think that I would have preferred a gradual adjustment.”
Keystone, the moratorium in the Gulf, green energy policies, sabre rattling with Iran, Iran cutting oil supplies to France and England, the printing of trillions and trillions and trillions of fiat cash – yup, high gas prices must be the result of speculators.
Nancy Pelosi – the smartest liberal woman ever. And The Mayor is quite serious about that.
Sales of the Chevy Volt rose 240% in September compared to August, with a whopping 723 units sold across the US. You read that correctly:
That brings the grand total of Volts sold since it entered production in late 2010 to approximately 4495.
General Motors maintains that demand is high and it will sell 10,000 Volts by the end of 2011.
Admittedly, sales for the Volt have been rather shocking. But GM management insists they will charge ahead, and that current sales are not indicative as to how the Volt will do in the future. Watt is important, GM management says, is that the Volt will one day be the joule of their car and truck line-up. The Obama government in DC agrees. So does the rock band, AC/DC. Though many outside the beltway think the Volt hasn’t created a spark with the American public, they don’t seem energized, and that has caused friction, and as a result, sales have not been electric to date. However, if GM management can keep up their charge when it comes to the Volt, if they can exude even more magnetism, that may give way to even more juiced-up sales. “All the power to them”, we say. Insiders tell us that is the way GM can socket to their competitors.
Newest General Motors Co. CEO, Dan Akerson, in an interview with The Detroit News, gives his take on where his company is headed, the direction of the American economy, and a bunch of other nonsensical crap.
How does Akerman plan to get the general public to buy more GM cars? Tax the bastards until they buy:
General Motors Co. CEO Dan Akerson wants the federal gas tax boosted as much as $1 a gallon to nudge consumers toward more fuel-efficient cars.
A government-imposed tax hike, Akerson believes, will prompt more people to buy small cars and do more good for the environment than forcing automakers to comply with higher gas-mileage standards.
“People will start buying more Cruzes and they will start buying less Suburbans.”
That’s a pretty decent plan. Especially considering that GM makes about $8000.00 for every Suburban sold and about $3000.00 for every Cruze they sell. For that plan to work, GM will only have to triple their sales to be exactly where they are right now.
If Akerman gets his way and the government slaps a $1 tax on every gallon of gas, he believes this will increase sales of GM’s Cruze’s. The Mayor believes the populace will buy more Corolla’s and Accords, Hyundai’s and Mazda’s, seeing as they are far superior cars, but Akerman has been in Telecommunications for 50 years, so he’s probably right. The Mayor is just a consumer.
GM is still in the hole when it comes to paying taxpayers back the tens of billions it owes them, but Akerman manages to put on his best happy face when asked about this:
At the current stock price, U.S. taxpayers would be out more than $12 billion on GM’s bailout. Still, Akerson believes that, in the end, taxpayers will see the government made the right call in saving the automaker, as well as crosstown rival Chrysler.
“We are in the midst of transforming an iconic American company so 20 and 30 years from now (taxpayers) will look at this company and they’ll say, ‘Absolutely it was the right thing to do,’” Akerson said. “And it shouldn’t be measured on did it sell for $43 or $53 (a share) or did they lose a couple billion dollars?”
GM was saved, he said, because of the extreme generosity of Americans — a spirit that helped restore Europe and Japan after World War II and rebuild cities such as New Orleans after natural disasters.
In other words, it’s only money. What’s $20 billion here or there when it comes to saving and creating union jobs? When it’s someone else’s money, money is nothing. The American public is generous, its citizens happy to featherbed union reps and create union jobs for people that will funnel their extra billions back into democrat coffers throughout the USA. Besides, Obama promised this money to the UAW after the UAW worked tirelessly to get Obama elected.
As for the shareholders that Obama and GM completely wiped off the map, well, the shareholders can feel better knowing a large portion of their life savings were given as an act of generosity. Remember, having your shares taken from you without compensation is exactly the same type of generosity Americans showed towards the Japanese when they helped rebuild their country after WW2. EXACTLY the same. Akerman said so, and he’s really smart.
Akerman also gave his solution when asked about raising America’s debt ceiling. Any idea what that solution might be?
Congress should raise it from its current $14.3 trillion mark. The government could default on its debt on Aug. 2.
“We’re too good a nation to let ourselves be a banana republic,” Akerson said, warning that a default would be “unimaginable” and could hurt auto sales.
But he agrees with those who say the country has been spending money it can’t afford.
“Now, we need practical decisions,” Akerson said. “I think you need to cut the hell out of the budget and you’ve got to increase taxes … on everybody — including the middle class and the rich people.”
In other words, Akerman wants to have the debt ceiling raised, but have spending cut. Yup. Cut spending, but raise the debt ceiling in order to spend more. Print more money for programs you intend to eliminate.
After printing more money, cutting programs you intend to fund, then comes the tax the middle and upper class.
To recap: The new CEO of GM intends on making GM profitable by trying to institute a gas tax that will get more people to abandon buying profitable cars for less profitable cars. After that initiative, tax the hell out of the only people that can afford cars.
Sounds like Akerman will fit in quite nicely at government motors.
The good folks at Zero Hedge correctly point out that the most repeated words from Obama’s SOTU speech last night include “people,” “years”, “new”, “jobs” and “make.” While the word “debt” didn’t make the top 50.
And, coincidentally, Zero Hedge had another interesting tidbit to pass along this morning:
…the projected deficit just went up by another half a trillion: “For 2011, the Congressional Budget Office (CBO) projects that if current laws remain unchanged, the federal budget will show a deficit of close to $1.5 trillion, or 9.8 percent of GDP.” This is up from $1.07 trillion: a very small margin of error there.
That’s okay, the Dow just broke through 12,000 today, so we’re all rich.
GM’s November sales figures were released yesterday, and while they didn’t meet expectations, the real news was what the good folks at Zero Hedge gleaned from the report:
…earlier today, GM reported slightly disappointing sales numbers: the newly IPOed company sold 168,739 cars in November, a 11.4% increase to November 2009, which came in below expectations of a 13% rise. That’s mostly noise. What isn’t, however, is the linear rise in GM’s auto inventory safely stashed away at dealers, i.e., unsold. The chart below demonstrates what some may argue is nothing less than a blatant case of channel stuffing. Is it really surprising that GM will resort to such pathetic schemes to boost its top line numbers? Of course not: the government’s GDP report demonstrates that this is occurring everywhere in the US economy, courtesy of near record inventory accumulation which two years after the start of the depression refuses to let up, providing a hollow boost to economic numbers as the much anticipated pick up in end demand…
It is obvious that beginning in July, GM has started an aggressive channel stuffing program whereby it offload tens of thousands of cars (over 110,000 since July) on dealer lots, hoping these will get sold somehow, at some price, all the while dealers enjoy taxpayer subsidized floorplan leases which allows them to hold nearly infinite inventory. If and when the liquidation event takes place who cares? After all the company is now public and has managed to massage it artificial sales numbers sufficiently to fool investors that there is actual end demand for its cars.
Why would GM do such a thing? It is not as if GM had its IPO a few week’s ago and did anything and everything to drive up its price, including manipulating its sales numbers, right? It’s not as if the $33 stock just made the UAW automatic billionaires, and considering Obama just basically gave GM to the same effers that broke the company, that would be the sweetheart deal of the century, right?
China is accused of building cities that no one will ever live in just for the sake of pumping up its GDP. What GM is doing is exactly the same. And when their stock crashes, as it will because the company is a shell and a fraud, the UAW will have already cashed out and the American taxpayers will be on the hook to pay for the disaster that everyone knew could have been avoided in the first place. Luckily, no one really cares in america, or someone would do something, or so one would think.
It seems the political wing of the IRA isn’t happy about the EU/IMF non-bailout bailout that will enslave the Irish (and their kids, grandkids and great-grandkids). The Mayor can’t possibly see how this will end badly.
Oh right, and what is this about Sinn Fein protesters trying to enter government buildings? The IRA are still unarmed, right?
According to GM ’s books, the car company made a profit in the first quarter of this year and the second profitable quarter in a row:
GM reported net earnings of $1.3bn for the three months to June 30 – its second consecutive profitable quarter, and its best since 2004. The carmaker is preparing for an initial public offering that will allow the US and Canadian governments to begin recouping the $60bn of taxpayer aid paid since 2008.
This would be good news if it wasn’t all a load of steaming, diseased bullshit. Just look at the timing, the inital IPO is today and yesterday GM announced it made a record profit? It’s nearly TOO good to be true. And you know what they say when something is too good to be true…
What GM announced yesterday is that they are masters of money shuffling. Kind of like the way they duped the public into believing it paid back $5 billion of taxpayers money a few months ago. GM gets $60 billion from the US and Canadian gov’t’s, socks away $5 billion it didn’t give to the unions, and when it comes time to pay back the money, BAMM!!, look at us, we’re a company that keeps its word!!! Good times are here again!! We’re doing so well, LOVE ME!!!!
Here’s what GM didn’t mention yesterday: they are paying ZERO dividends on common stock that TAXPAYERS’ funded, AND they are making NO debt payments. Previous lenders to GM were raped and pillaged and all their assets STOLEN by Obama and his commie gang of thugs and liars, while the stolen cash money was distributed to GM union scum. Look at all the people (grandmothers and grandfathers, cripples, etc) who lost their life savings, all so Obama could secure the union vote.
So all that cash was *free* and didn’t have to be paid back. How could GM NOT show a profit? It would be impossible.
All this is is massive corruption on a scale we’ve never seen before. This was and is theft, plain and simple. Theft to pay off the unions and to prop up an unsustainable business model. It’s sick and people should hang from trees for what they have perpetrated.
And now we are told by those frothing lapdog scumbags of the msm that not only is this GM profit an AMAZING thing for the universe, but that the resignation of Ed Whitacre is further proof that GM is doing just swell. How is the President of a corporation resigning ONE DAY before his company’s IPO a GOOD thing? How is that even possible? It’s not. Shareholders are looking for stability, quitting a day before an IPO is insanity and usually the death knell for any company. However, in today’s black is white, up is down, Milli is Vanilli world we live in, this is a a great thing.
Let’s not kid ourselves, Whitacre is leaving because he doesn’t want to captain a sinking pirate ship. Whitacre doesn’t want his name associated with GM any longer. He looks like a hero now, but in a few years when the truth leaks out about GM and its practises, Whitacre wants to be as far away as he can be. Whitacre was part of the scam, but he couldn’t take it any longer, that’s all.
Do not buy GM. Ever. Boycott them to the day you die. Tell everyone you know the GM story, if they want to buy GM, shame and mock them. GM needs to be put down like a horse with a broken leg. Do not support these socialist dirtbags.
I’m not sure why the picture I posted yesterday didn’t show up for many of you, it is still showing up on The Mayor’s computer. The only reasons I can think of is that your computer sucks, and/or you’ve been a bad human being and the Lord is punishing you for your terrible behaviour.
I betcha it’s #2 with a pinch of #1.
It doesn’t matter where Marc goes or what time he does what he does, whenever he leaves his house he brings his camera. Hold on a second, let me reread that last sentence. Hmmmm, it’s a bit confusing. What I’m trying to say is that Marc captures all these excellent pictures because he never leaves home without his camera. The Mayor is lucky to remember his pants when he leaves home. Right now is a perfect example – I’m at the library and I just looked down to find that not only am I not wearing pants, but I’m not even wearing underwear. I’m actually squatting naked on the library floor whilst typing. Some people are cheering, others are vomiting, but one thing is for sure: the memories will last them a lifetime.
GM paid back its loans WITH interest. All $64 BILLION DOLLARS. What? They only paid back $5 billion? Through layoffs and downsizing? But the sign says….oooooohhhhhhh, it doesn’t say they paid the WHOLE amount off 5 years ahead of schedule, it just SEEMS like they did because of the tricky wording.
I get it now. That’s some excellent PR, GM. You’re making people believe you’re a trustworthy company because you imply that you paid off ALL your loans ahead of time, but in fact you’re just tricking people into believing you’re trustworthy. Like how you tricked the entire world into buying your shit cars and telling us GM is actually viable when GM is actually a welfare case that has a pooload of taxpayer money tied up to paying union junkies and high wages for unproductive management slugs. Hahahaha, joke’s on us. Again.
The following are some of the tax increases that are scheduled to go into effect in 2011….
1 – The lowest bracket for the personal income tax is going to increase from 10 percent to 15 percent.
2 – The next lowest bracket for the personal income tax is going to increase from 25 percent to 28 percent.
3 – The 28 percent tax bracket is going to increase to 31 percent.
4 – The 33 percent tax bracket is going to increase to 36 percent.
5 – The 35 percent tax bracket is going to increase to 39.6 percent.
6 – In 2011, the death tax is scheduled to return. So instead of paying zero percent, estates of $1 million or more are going to be taxed at a rate of 55 percent.
7 – The capital gains tax is going to increase from 15 percent to 20 percent.
8 – The tax on dividends is going to increase from 15 percent to 39.6 percent.
9 – The “marriage penalty” is also scheduled to be reinstated in 2011.
It is being estimated that the total cost of these tax increases to U.S. taxpayers will be $2.6 trillion through the year 2020.
**Here is how the Obama administration is framing the looming tax increases: “This week, the administration also repeated its intention to let tax cuts for the wealthy expire in January.”
In other news, according to Barack Obama, you are now all officially rich.
Feels good, don’t it?
***Thanks to The Economic Collapse
Figures released by the Commerce Department yesterday shows that consumer spending rose for the 5th straight month. Stocks and commodities around the world rose today with the news, as supposedly this is further proof that the American economy is back on its feet and running.
And that sounds great and all, but what about this little nugget of information tucked far into the article?
Because spending rose and incomes were unchanged, the savings rate fell to 3.1 percent last month, the lowest level since October 2008.
Consider that again: Stock markets around the world rallied today, and the DJIA rose yesterday on the news that American consumers spent more in February. Yet, the savings rate plummeted. This is the cause for celebration. Also consider that the savings rate fell to the “lowest level since October 2008.” And what was the savings rate in October 2008? Dismal. Absolutely dismal.
The American federal government is basically broke. Kaput. The States are in virtual bankruptcy and individual debt is through the roof. Yet, we are told the recovery is around the corner because Americans are spending more and taking on more debt. Excuse me if I don’t put on my party hat.
But money is being spent, it’s coming from somewhere. But where?
More than 7.4 million home loans nationwide are in some stage of delinquency or foreclosure, with another 1 million properties either bank-owned or sold out of foreclosure. An incredible 10% of all U.S. loans are delinquent.
That’s a lot of money NOT being spent on mortgages or loan repayments. I suppose the not-being-paid-mortgage-money can and is being spent elsewhere. Hell, if I didn’t have to pay $1500.00 on the mortgage at The Manor each month, I suppose there would be no reason why I couldn’t afford that spiffy new IPad.
This Friday the US jobs report will come out and there will be somewhere in the neighbourhood of 160,000 jobs that were created last month, and I’m sure Monday will be a banner day on the stock market. Just as it would be if the US lost 160,000 jobs. We’ll once again be told that the economic recovery is well under way and that good times are here again. You won’t be told that between immigration and people entering the workforce every month, that the US needs to create about 150,000 jobs just to keep the unemployment rate steady. Nope. 160,000 jobs will be proof that Obama’s policies are stimulating the economy. No mention that under his watch, 6 million jobs have been lost.
We’ve been told since the start of The Greatest Economic Downturn Since The Great Depression (TGEDSTGD)™ that banks, businesses and consumers need to purge themselves of debt. Debt was the noose around our collective necks. But now that that doesn’t fit the narrative, debt isn’t so bad after all and personal savings aren’t something to worry about. You would think that with this sudden reversal of thought that there must be an election around the corner, or something.
Chart courtesy of Reuters
Absolute, 100% fraud. Case closed. Geithner knew this was going on and gave it his blessing. How could he not, he was the head of the NY Fed! Now Turbo Timmy is in charge of the Treasury? Unbelievable. How come this shyster isn’t behind bars? How come you Americans aren’t demanding this? I honestly don’t understand.
This is the BIGGEST scandal in US history.
And that is no exaggeration.