Bankruptcy

A Tale of Two Companies

By mcbride

Car companies take government money and have unprecedented intervention in their corporate affairs.  Financial companies just take government money.  ?But the White House on Monday downplayed the difference between Obama’s treatment of the automakers and the less stringent conditions it has placed on the financial industry in return for financial infusions worth billions of dollars.? Link: http://apnews.myway.com/article/20090331/D978UOLG1.html

??It’s the age-old Wall Street vs. Main Street smackdown again,? said Brian Fredline, president of UAW Local 602 at a plant near Lansing. ?You have all kinds of funding available to banks that are apparently too big to fail, but they’re also too big to be responsible.?

?But when it comes to auto manufacturing and middle-class jobs and people that don’t matter on Wall Street, there are certainly different standards that we have to meet — higher standards — than the financials. That is a double standard that exists and it’s unfair,? Fredline said.?  Link: http://finance.yahoo.com/news/Workers-say-Obama-treated-apf-14789941.html

Michael

Full post as published by Texas Lawyer Blog on March 31, 2009 (boomark / email).