This WSJ opinion article says Obama's Auto Plan is Capitalism At Work, and that "Not a single creditor right has been altered during this process."
I'm sorry, maybe I missed something here. But I thought the hoopla was because the unions/employees were getting a cut, when the creditors had not been fully compensated?
Also, my bankruptcy professor was arguing that in all this talk about restructuring the auto industry, no one is realistically looking at the future demand for cars in the country. Apparently, the numbers indicate that we've been selling some 16-17 million cars per year, but that number will drop to some 9-10 million per year going forward. (I don't have a cite for that, other than Class Notes.) And all the car companies are already struggling with the 16-17 figure. What makes anyone think that the car industry is worth saving? That we should be propping up supply when there is no demand....?
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