Posted on: April 7, 2009 2:40 pm

Back to GM, and the Fed's attempt to sink them.


Back about a week ago, with the terms of the latest GM bailout revealed, was a small but significant term mentioned, but not greatly covered.  The federal government was, as part of the new auto bailout terms, forcing GM to drop it's corporate sponsorships for sporting events.  This means auto racing, FLW fishing tournaments, the works.  Many praised this policy as a good move.  GM should not be giving away money when they are in financial hardship.  But is this not the most significant media for positive GM advertisement available to them?  Let's have a look. Who predominately follows FLW tour events?  Middle class, suburban/rural working males.  Middle Americans, who proudly wave the Stars and Stripes, have buy American bumper stickers.  Drive pick-ups and SUV, support our troops, tow boats, have families.  In short, the prime level of consumers that GM needs to connect with.  This same crowd dynamic composes the fan base of racing events.  What happens when GM pulls out of these events.  One only needs to look to B.A.S.S. and when Chevy pulled out.  Toyota jumped right in.  Look at the B.A.S.S. tour now, Tundra's and Sequoias as far as the eye can see.  Go to sporting shows, there is the Toyota booth, official sponsor of the B.A.S.S. Master Classic.  Significance, over the past several season, local fisherman competing in local events have bought more Toyotas than GMs.  Just go to a boat ramp at a major lake and see what vehicles are present. Should GM pull out of these existing sponsorships, the same trend will happen.  Middle class Americans are loyal consumers, and they will support the company that supports their interests.  It was money well spent for Toyota, and for GM to give up another platform, could be catastrophic.  Just a few months back, Forrest L. Wood, founder of Ranger Boats and the FLW tour sent out a personal email to all FLW  members urging them to support GM  citing their loyalty to bass fishing and the American way of life.  Does GM really want to and can they afford to alienate this loyal consumer base?   Learn from past mistakes GM and the Federal Government.  Don't turn away middle America, they are a consumer base you cannot survive without.  And one that Toyota will be all to happy to suck up to.
Posted on: March 17, 2009 9:37 am

AIG, Obama, and Plot to Take Change America?

AIG, where do I begin.  I had a lot to say about AIG and the bonuses originally.  But the more I thought about it, the more I realized there is no way possible, that these bonuses were a surprise to Washington.  It is simply beyond comprehension that Obama, Geithner, no one, looked into AIG's contracts before issuing  billions more tax payer dollars.  This was a calculated ploy to serve the purpose of a larger agenda.

The latest bailout is issued, with Washington now consuming about 80% of AIG stock.  I would say the tax payer, but we all know you and I have no stock in AIG, so we say Washington.  This comes at roughly the end of the first quarter, a time when bonuses are paid out.  The money comes in and AIG moves to pay out it's $160,000,000 in contractually bound bonuses.  All of a sudden the wheels come to a screeching halt.  There is Obama, Geithner, Como and dozens of others screaming about the outrage of this. 

Whose surprised by this?  I am not.  AIG, a failed company is continuing it's failed practices.  But in doing so, breaking no terms of the bailout issued to them.  GM execs and the UAW had to restructure their contracts to receive bailout money.  Why was AIG different?  Because AIG is the worlds largest insurer.  Now the plot thickens.  Why could a democrat administration possibly be interested in AIG.  As mentioned, 80% is now under Washington control, and they want the other 20%.  Total seizure for AIG stock to run the company as they see fit.  And how would a Democrat led Washington run AIG?  The beginning of a social juggernaut that liberals have been preaching for for 30 years, and now have to opportunity to unleash. 

The seeds of universal healthcare have already been planted.  AIG will serve as anchor to launch a far more compressive program.  And universal healthcare is only the beginning.  With the federal government seizing more and more power than ever before, we are now facing a massive redefinition of America.  With the new tax credit structure, we are looking at expanding the percent of the population that pays $0 in net income tax from 38% to 50%.  For the first time in U.S. History, we are going to be looking at a voting majority that does not have any financially vested interest in the running, maintenance or execution of the Federal Government.  I wonder what way that growing majority will vote?  Worse yet, the American people seem perfectly happy to surrender their freedoms and entrust all in the shrine of Obama.  The real legacy of Bush's failed presidency.  Wake up America, the rug is being pulled from under our feet, and once gone, it will never, ever be put back.


Category: SPiN
Posted on: February 20, 2009 9:42 am
Edited on: February 20, 2009 9:44 am

Ford Wins! GM/Chrysler read last rights

So here we are, just 2 months after GM and Chrysler sucked $15,000,000,000 from the U.S. tax payer, they are back looking for another 20+.  So 15 billion could only keep them afloat for 2 months, what good is another 20 going to do?  Get them by till April, when they will be looking for another 20 billion? 

Through it all, Ford has said thanks but no thanks to Tax payer money (at least at this time).  In doing so, not only have they saved face, but quite possibly the reputation of their brand.  Let's be perfectly honest here folks, after knowing GM and Chrysler needed our money just to keep their doors open, how confident are you in their future?  Makes you want to just run out and spend your hard earned cash on a new Malibu doesn't it.  Fact is most Americans don't want to support a welfare case, and that is exactly what GM and Chrysler have become.  Much by their own doing. 

Restructure their product line, that was the case made for the Auto Bailout.  Borrow money so they can survive, and restructure their product line to meet the current market.  Is this a Joke?  What market, smaller cars?  GM already has 7 vehicles that get 30+ miles per gallon.  Do you want to see them?  Don't go to a parking lot.  Don't go on the highway.  They are not there.  You have to go to a dealership, they are chuck full of them.  NOBODY IS BUYING THEM!  Americans don't want cheap, small cars.  Even with $4.00 a gallon gas, they didn't sell.  Sure Toyotas and Hondas did, but even they took a hard hit this past year, and these companies have dominated the small car market for the past 2 decades.  No American family, with 2 small kids in car seats, wants to try and cram all their stuff in a Aveo and go on vacation.  They simply don't fit. 

The answer isn't some new miracle product that will draw people in on a buying craze.  Certainly not in the current economy.  The answer is restructuring the manufacturing and selling process so they can make a profit.  That is both on the worker and executive level.  Until they do, they will continue to lose money per sale.  They just better home they haven't completely soiled their name brand to the American people.

Thumbs up to Ford.  Even though they are hurting, and they are, they had the balls to say we will weather this storm on our own.  And we will rebound!  Now just don't go making a liar out of me and come running to Obama with a cup in your hand.

Posted on: November 18, 2008 11:34 am

America First, or last?

The big upturn in the U.S. economy was due to technology.  Advances in computer and electronic technology launched a consumer spending boom.  All of a sudden people saw amazing changes in computers, video games, phones, T.V.'s car luxuries, and everything else with an electronic component.  With more money being spent, more jobs were created, stocks rose, in short prosperity. 

Then globalized markets came.  Jobs outsourced, China came onto the world stage, manufacturing stalled, and consumer confidence crashed.  This was followed up by two wars, the Housing crash, and a subsequent stock market fall. 

Today we face a new challenge.  We have a 10 trillion dollar deficit, manufacturing makes up only 10% of U.S. jobs, we are tied down in two wars, have an energy crisis.  China has become the worlds largest creditor, manufacturer, and boasts a 262 billion dollar trade surplus.  Add to this the impending import of Chinese cars into the U.S. (the nail in the coffin for U.S. car manufacturers).   And now China is poised to soon begin the construction and export of commercial aircraft. 

The United States is in peril.  "Our", and I use the world painfully, newly elected president needs to focus on the task at hand, and not social justice.  People are hurting, but things are guaranteed to get worse.  Throwing a Band-Aid on the wound is not the answer, we need to change the entire course of the nation.  The United States needs a long term policy change on economics.  Globalization has been the death to American Industry.  What The United States needs is a Nationalization of American pride.  Re-imposing of tariffs on imports.  Harsh prosecution of white collar crimes.  And the removal of U.S. troops and dollars in non-U.S. interests.  American needs to follow, in part, the example that China showed us.  That is a United States First policy to rebuild our economy and strengthen our financial security.  Anything less is a waste.

Posted on: November 6, 2008 10:38 am

How McCain failed the Republican Party

Congratulations President elect Obama.  I will never support you, but you won in an electoral landslide, and that is an accomplishment in it's self.  The real Loser here is John McCain (both literally and metaphorically).  Watching his campaign was like watching a disturbing video of a crime being committed.  This Blog would have to be 10,000 words in include all the tactical blunders along the way, but worse, there seemed to be no strategy for winning.  A few of the gaffs along the way however included his public address of how the economy is sound, the day before it was revealed to the world it wasn't.  But this from I presidential candidate who said while on the trail the economy is not his strong point.  Some advice, never publicly admit a weakness when running for president.  The people don't want to relate, they want to believe in their candidates ability to lead.  Lets also not forget his run back to Washington for the bail out debates.  The day any conservative puts his name behind a $840,000,000,000 government handout, we can not even pretend he is still a conservative.  And enough with Joe the Plummer.  It made a good impact at first, but when you over play these issues, they lose their effectiveness.

The real blunder and failure was Sarah Palin.  Although not the blundering idiot portrayed to us by the media, she was completely unqualified for the office of Vice President and not up to speed on both domestic and foreign policy issues.  She accomplished the goal, capitalize on the Hilary independents, and gain more votes.  But McCain failed to grasp the obvious, the popular vote is meaningless.  Obama only captured 52% of the popular vote, but cleaned house on the electoral map.  Sarah Palin did not deliver one single state to the McCain Campaign. 

McCain should have been a better scholar of History, following the path that other presidents lead in tough elections.  Lincoln chose a bipartisan ticket in choosing Andrew Johnson (Democrat) as his running mate.  Kennedy chose LBJ, despite the fact that the two loathed each other.  Reagan chose Bush 41 when it appeared he did not have the republican base locked.  Bush 43 chose Cheney to give his ticket experience and credibility.  And Obama chose Biden, despite the harshly negative comments Biden lashed out towards Obama during the Primary.  McCain should have chose Mitt Romney.  His experience, credibility, and business knowledge would have brought tremendous gain to the ticket.  Plus Romney was strong with independents in key battle ground states.

In the up and coming months, McCain will try and reposition himself as the "Maverick" senator, and we will see much of the blame thrown on Palin.  But truth be told, McCain chose his VP.  McCain put together his campaign staff.  And McCain is the one to bare the tag of loser.  When a republican candidate for President loses the vote of a die hard conservative like mine, does he really expect to win undecided votes?

The views expressed in this blog are solely those of the author and do not reflect the views of CBS Sports or CBSSports.com