Is there a contradiction Here?

[detbuch]

Originally Posted by Tagger

All that money to bail out Chrysler the last time was all paid back . Are the bail outs of the Auto Industry loans ? Gifts ? .. How much of the Stimulus will we recoup later if things go well ? Or is it all gifts ?

Also, The 1979 Chrysler bail-out was not a Government loan. Chrysler was forced by the Gov. to get loans from commercial creditors which would be guaranteed by the Federal Government. And the creditors were forced by the "Chrysler Loan Guarantee Act of 1979" to make concessions as well--Chrysler was able to pay off more than $600 million of the 1.5 billion in loans at 30 cents on the dollar. Also, Chrysler was allowed to convert nearly $700 million of debts into a special class of preferred stock that payed no dividends and were unredeemable for several years. Despite the loan guarantees, Chrysler still reduced its work force by 50%, which many at the time, including some Dems, complained was as large a number or larger than if the company was forced into bankruptcy. And many at the time were saying that we all "became involuntary and uncompensated partner in a company whose future is still in doubt." So 30 years later Chrysler's future is still in doubt and it is asking for 10 times or more dollars DIRECTLY FROM THE FEDERAL GOVERNMENT.