Tuesday, November 25, 2008

Think About How Clueless Detroit's Leaders Are

Leaders of the big three domestic automakers were sent packing without the $25 billion handout they were seeking from the public treasury. Congress told them to come back and try again when they had a plan for returning their respective companies to viability.

Think about that. It means that the auto makers' executives jetted to the nation's capitol expecting to get a bailout to delay the collapse of their companies. They didn't have any coherent plans for using the taxpayer funds they were seeking to transform their companies into self sustaining enterprises.

They'll probably be back with some kind of fairy tale plan that will give Congress sufficient cover for giving the auto makers enough funds to kick the problem down the road, delaying their inevitable ruin until others are in office and have to deal with the problem.

The fact of the matter is that the auto makers are failed enterprises bereft of anything approaching adequate leadership. Their only possible salvation lies in the kind of restructuring that can be accomplished best, and perhaps solely, through Chapter 11 bankruptcy proceedings.

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