The Federal Government steps in, abrogates the rights of pensioners, upends contract law, and the Supreme Court refuses to hear the case. If the Supremes won't, who will defend the rights of the individual against the government?
Secured bondholders are sent to the end of the payment line, but Fiat is apparently gaining 35% of the new Chrysler for...what exactly? It doesn't seem to be money.
And speaking of no money down, how exactly does the government have the right to take away the property, albeit near defunct, of shareholders and bondholders and buy the majority stake only to give it away to the union which helped bring the companies down in the first place? Smacks of the cigarette tax medical care giveaway.
What does union ownership mean anyway? Will they be running the joint? If there are ever profits, will they trickle down to the workers?
Unifying principle here: take from one group and give to another. Income redistribution at its highest form. He told you so.
If you ask me, these auto deals are a travesty and the beginning of the road to perdition.