Obama: bankruptcy for Big Auto makes it easier to clear away "old liabilities"
"Unlike a liquidation, where a company is broken up and sold off, or a conventional bankruptcy, where a company can get mired in litigation for several years, a structured bankruptcy process -- if needed here -- would be a tool to make it easier for General Motors and Chrysler to clear away old liabilities," the government said in a fact sheet [snort] outlining a "surgical bankruptcy" of 30 days or less.
Because we know what those "old liabilities" are, don't we?
Pensions and health care -- won by unions. If they get away with this, there's worse to come.
And meanwhile, AIG's counterparties get paid 100 cents on the dollar -- with taxpayer money. It really couldn't be more obvious who's running the show, could it?
NOTE I'm not sure whether this is meant to distract from G20, or vice versa. For Versailles, of course, it's all part of the same process...
UPDATE * Hamsher says it's about fucking over the bondholders. We'll see.