Auto Bailout V.s the Alternative

Toronto – We can all debate the merits of a government bailout for the Big Three Automakers until we are blue in the face, but what we sometimes fail to see are the facts that surround that debate. Whether we like it or not, our opinions are largely based on water cooler banter and conflicting news reports from multiple news agencies pushing their agendas and leading us to ignore some of the deeper, true meanings behind the debate. I will ask you to push aside any bias you may have against American made new & used cars and take a look at those facts and try and come to a conclusion based reason and fact.

Fact: We are no longer driving our fathers used cars.

· The big three have made great strides towards producing cleaner, greener and more fuel efficient vehicles in the last 15 years and are continuing to invest in environmental technologies for our new and used cars.

· Used cars that are made in America and Canada, provide hundreds of thousands jobs in the auto trader market today.

Fact: The U.S. congress has the greatest deficit in history.

· They continue to hold the auto maker’s feet over the fire while they bailout companies such as AIG to the tune of 150 billion.

· These are the same companies that are responsible for the worldwide economic crisis and the automakers can’t get 25 billion “Loan”.

· The new and used cars from an auto trader are responsible for millions of dollars being pumped into our economy. Can AIG or any of the others say the same?

Fact: The job tree starts with manufacturing and the Auto Industry

· Every 1 job in the auto industry supports 7.5 more jobs in supporting industries

Fact: The auto industry should be found guilty.

· Guilty of paying decent wages and benefits to its members

· Guilty of employing millions of Canadians and Americans while other companies are outsourcing all their jobs overseas

· Guilty of pumping money into the economy

· Guilty of being the last great patriotic companies left in North America

CNN Headline News did a short news listing regarding Ford and GM's contributions to the relief and recovery efforts in New York and Washington during the 9/11 crisis. The findings were as follows.....

1. Ford- $10 million to American Red Cross matching employee contributions of the same number plus 10 Excursions to NY Fire Dept. The company also offered ER response team services and office space to displaced government employees.

2. GM- $10 million to American Red Cross matching employee contributions of the same number and a fleet of vans, SUVs’, and trucks.

3. Daimler Chrysler- $10 million to support of the children and victims of the Sept. 11 attack.

4. Harley Davidson motorcycles- $1 million and 30 new motorcycles to the New York Police Dept.

5. Volkswagen- Employees and management created a Sept 11 Foundation, funded initial with $2 million, for the assistance of the children and victims of the WTC.

6. Hyundai- $300,000 to the American Red Cross.

7. Audi- Nothing.

8. BMW- Nothing.

9. Daewoo- Nothing.

10. Fiat- Nothing.

11. Honda- Nothing Despite boasting of second best sales month ever in August 2001.

12. Isuzu- Nothing.

13. Mitsubishi- Nothing.

14. Nissan- Nothing.

15. Porsche- Nothing Press release with condolences via the Porsche website.

16. Subaru- Nothing.

17. Suzuki- Nothing.

18. Toyota-Nothing despite claims of high sales in July and August 2001. Condolences posted on the website

So, next time you’re around the water cooler debating the merits of American and Canadian new and used cars to buy or the Big Three bailout program with your colleagues, please try and remember that home grown business has multiple benefits that aren’t always easy to see from the exterior. The Big Three auto makers are the backbone of our countries fiber and economy and assisting them during these turbulent times will have benefits that will last long after AIG has paid out all its executive bonuses.