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Politics : The Obama - Clinton Disaster -- Ignore unavailable to you. Want to Upgrade?

To: DuckTapeSunroof who wrote (3419)	12/20/2008 1:00:15 AM
From: RMF	1 Recommendation Read Replies (2) \| Respond to of 103300

O.K., Buddy, I understand your point. You're right of course, the companies themselves, along with their shareholders have already been devastated. I "think" these loans the government is giving will create a situation that essentially IS bankruptcy, but without using that WORD. The government loans will get "deferential" treatment, which will put all subordinate debt holders in pretty much the same spot they'd be in in actual bankruptcy. Their debt paper will be pretty much worthless. The companies themselves will be scaled down and the Unions will have to accept major cuts in wages and benefits. When the economy has stabilized the Government can just CALL all these loans if they want to and let these companies just sink or swim based on what they do in the next couple years.