Companies start competing for bailout money

RTO · Post by **RTO** » October 26th, 2008, 8:09 am

WASHINGTON â€“ The bailout is now the hottest lobbying game in town.

Insurers, automakers and American subsidiaries of foreign banks all want the Treasury Department to cut them a piece of the largest government rescue in U.S. history.

The betting is that many with their hands out will be successful, especially with financial markets in a stomach-churning dive and predictions the economy is about to tumble into a deep recession.

These groups argue that the credit squeeze is so severe and the risks to the economy so dire that their industries need financial support as well.

The Treasury is considering requests from a variety of industries, but has not decided whether to expand the program, officials said Saturday.

Lobbying efforts are intensifying.

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smokn38 · Post by **smokn38** » October 26th, 2008, 2:00 pm

Here is a problem I have. Was the bailout designed for this purpose?

http://online.wsj.com/article/SB1224854 ... od=testMod

"In a sign that the federal government wants to rid the U.S. banking industry of some of its weakest players, regulators pushed National City Corp. into a $5.08 billion sale to PNC Financial Services Group Inc., people familiar with the situation said."

I understand the concern with weak banks, but allowing the Federal Government to loan money to banks of their choosing to purchase what they perceive as weaker institutions is moving into territory I'm not real comfortable with. National City has issues. But now government is stepping in and choosing who stays and who goes.

RTO · Post by **RTO** » October 26th, 2008, 2:49 pm

What I see happening is the companies that are most deserving or would best utalize the cash flow to boost the economy will get little to nothing while greedy corporate America dips into the kitty without regard or regulation till it is depleted.

rgrokelley · Post by **rgrokelley** » October 26th, 2008, 7:04 pm

RTO wrote:What I see happening is the companies that are most deserving or would best utalize the cash flow to boost the economy will get little to nothing while greedy corporate America dips into the kitty without regard or regulation till it is depleted.

Translation:

Companies that have supported the Democrats achieving totalitarian control of the Executive and Judicial branches will now be the most deserving.

Some animals are more equal than others.

Jim · Post by **Jim** » October 27th, 2008, 6:44 am

rgrokelley wrote:Some animals are more equal than others.

George Orwell was right.

Boudicca · Post by **Boudicca** » October 27th, 2008, 9:39 am

You sound so cynical, they probably just have an expensive BIG party coming up. Booze ain't cheap, ya know.

EvilCouch · Post by **EvilCouch** » October 27th, 2008, 3:20 pm

rgrokelley wrote:
RTO wrote:What I see happening is the companies that are most deserving or would best utalize the cash flow to boost the economy will get little to nothing while greedy corporate America dips into the kitty without regard or regulation till it is depleted.
Translation:

Companies that have supported the Democrats achieving totalitarian control of the Executive and Judicial branches will now be the most deserving.

Some animals are more equal than others.

I was under the impression that most big companies hedged their bets and backed both parties. After all, it's not like it's hard to hit the contribution cap for most of them.