Giving them large loans might be a good idea, they need to develop desireable vehicles and pay off the loans as they make more money from their new vehicles.

Ford will survive. GM, probably. The one that struggled the most was Chrystler.

I don't know for now. We'll see what the companies have done by April.

 

True, but they should have been developing desireable vehicles on their own without our money, and before the crisis reached critical mass.
Also, their losses are more to do with the credit freeze than desireable vehicles, even Nissan, Toyota, and Honda are posting losses.
The reason? Banks are not loaning money despite the bailout, which was the point.
The fact that the government loaned the money without controls such as if they accept money they must unfreeze credit is criminal, negligent, and stupid.
Even now...Obama went against his own judgement and approved the remaining half of the bailout money. And the Tax Cheat who is running the show "Turbo Tax Tim" strong armed Obamas administration to go easu on the executives.
Thats the problem, there is no accountability for executives!!!!!!!!!!!!!!!
These criminals get huge salarys and bonuses regardless fo performance, and even when they fail and get fored, they have golden parachutes giving them even more money upon termination.
WHEN will we stop rewarding failure?
These executives get paid large amounts of money to produce desireable cars....they did not....so now we reward them?
On the contrary, in order to get the bailout money, these failed executives need to be fired with no golden parachure in order to get the bailout money.
Did you know Japanese executives do not get such things?
Their money is based on performance and success, not failure.
In the Japanese culture it is a personal humiliation to fail as the American Automakers did. There is no reward, only humilitaion and penalty.
So until we stop rewarded these failed executives, history will repeat itself.
Frankly, the onyl reason I want GM to succed, is because I own a Hummer and I am worried about warranty and parts.
GM's executives sucked....but were paid like they were a success.
IMHO