Chrysler has repaid their 1.7 Billion in loans received from the governments of Canada and Ontario.
StatsCan: The Canadian economy expanded 3.9% in the first quarter of 2011.
Some action on the Senate.
And the House has yet to sit for even one day of Parl41.
Much more to come.
The end of the long gun registry.The end of the Canadian Wheat Board monopoly. The end of party subsidies...
Monday, May 30, 2011
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7 comments:
Was the Chrysler repayment real money or the funny money variety a la GM using TARP? funds to repay?
Agent Smith
Even some Americans are noticing how great Harper is. Check this out:
http://angrywhitedude.com/2011/05/dude-of-the-week-canadian-prime-minister-stephen-harper/
Barbara
They had a bond issue and sales are up big time but I don't know for sure. All I know is that we got our money back and still own 2.2% of the company.
American taxpayers have already spent more than $13 billion bailing out Chrysler. The Obama administration already forgave more than $4 billion of that debt when the company filed for bankruptcy in 2009. Taxpayers are never getting that money back. But how is Chrysler now paying off the rest of the $7.6 billion they owe the Treasury Department?
The Obama administration’s bailout agreement with Fiat gave the Italian car company a “Incremental Call Option” that allows it to buy up to 16% of Chrysler stock at a reduced price. But in order to exercise the option, Fiat had to first pay back at least $3.5 billion of its loan to the Treasury Department. But Fiat was having trouble getting private banks to lend it the money. Enter Obama Energy Secretary Steven Chu who has signaled that he will approve a fuel-efficient vehicle loan to Chrysler for … wait for it … $3.5 billion. TTAC comments:
Now, technically the DOE loan program is supposed to be used for specific, qualifying retooling projects, so Fiat can’t literally take the DOE money and use it to pay back the government loans. But freeing up $3.5b in capital that would otherwise be spent on retooling with low-cost loans will make it infinitely easier for Chrysler to secure the $3.5b in debt refinancing it needs. And, in light of the GAO’s pointed criticisms of the DOE loan program’s fairness and transparency, it’s hard to overlook the coincidental nature of Chrysler’s need for $3.5b and the government’s allocation of extra funds to apparently guarantee a low cost loan to Chrysler for precisely the same amount. After all, we’ve seen this movie before..
So, to recap, the Obama Energy Department is loaning a foreign car company $3.5 billion so that it can pay the Treasury Department $7.6 billion even though American taxpayers spent $13 billion to save an American car company that is currently only worth $5 billion.
Oh, and Obama plans to make this “success” a centerpiece of his 2012 campaign.
Read more at the Washington Examiner: http://washingtonexaminer.com/blogs/beltway-confidential/2011/05/truth-behind-chrysler-s-fake-auto-bailout-pay-back#ixzz1NrCZ8DR7
So you are saying that Chrysler will end up paying back EVERY dime that the Canadian public lent them ? Because they most assuredly will no. Bad enough for liberals to defend a money-losing investment in a horrible situation. Worse for a 'conservative' to do so.
Where is ALL our money ?
To quote the Shawinigan Sage:
'A proof is a proof, and when you...'
No wait,wrong talking points:
Okay again
'A million here,a million there,
What's a few million?'
I guess the same goes for a few billion!
Politicians...(roll the eyes).
We won't recover the money from loans in 2008-2009 with them declaring bankruptcy.
Our media is failing to get the actual % repaid in total from the total invested over the last few years.
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