Senate Banking Committee member Sen. Sherrod Brown, D-Ohio, delivers his opening remarks during a hearing on a bailout of American automakers, Thursday, Dec. 4, 2008, on Capitol Hill in Washington. (AP Photo/Susan Walsh) Susan Walsh /
Published December 04, 2008 11:11 pm - In between sessions and a meeting, U.S. Sen. Sherrod Brown called on his constituents to bail out the Big Three auto makers, saying he believes the auto industry can repay $25 billion in additional loans “within a few years.”
Ohio’s senators agree to proposal
By MARGIE TRAX PAGE - Staff Writer - mtrax@starbeacon.com Star Beacon
In between sessions and a meeting, U.S. Sen. Sherrod Brown called on his constituents to bail out the Big Three auto makers, saying he believes the auto industry can repay $25 billion in additional loans “within a few years.”
Brown, in a telephone press conference, said to reject the loan would be “catastrophic” to Ohio’s blue-collar workforce and an additional drain on the national economic system.
Ohio’s senior senator, George Voinovich, is also backing the bailout.
“I strongly believe this legislation should be voted on next week. There is absolutely no reason whatsoever to wait any longer,” Voinovich said.
Brown said executives from Detroit’s three major auto makers, who flew in private jets to ask for federal funding last month, will take a $1 a year salary. Ford Motor Co. executives presented a business plan to return to a pretax profit or break even by 2011 and will cancel all management employees’ 2009 bonuses and will not pay any merit increases for salaried employees next year.
Ford also promises to sell five corporate aircraft, Brown said.
The Big Three includes General Motors, Ford and Daimler Chrysler.
“(The automakers) have come forward with a plan and I believe they have met the test,” Brown said. “Based on reasonable assumptions, they can repay these loans.”
“We have two options here,” Brown said. “Provide bridge loans or allow the economy to drive off the bridge.”
The banking industry side-stepped regulations in its October bailout, not so with the Big Three, Brown said.
The problem, he said, could be in perception of the auto industry as a whole.
“People don’t think (the automakers) deserve a bailout because they have not kept up with foreign technology or energy efficient initiatives,” Brown said. “But this time really is different. In the last five years the auto industry has been through an incredible change.”
Brown said the focus should be on blue-collar workers and working class economics.
“This is a typical Wall Street bias,” he said. “We are looking at something that will effect hundreds of thousands of employees, people who work with their hands, people who take their showers at the end of the day instead of before work.”
Brown acknowledges this bailout, which Treasury Secretary Henry Paulson opposes strongly, will be a tough sell in the Senate.
PRODUCTION - FIBERGLASS Production - Fiberglass Must be able to transfer shift with short notice Recent verifiable fiberglass exp...>MORE
Dispatcher Needed in a fast paced busy environment. Must be available for various shifts. Apply within City Taxicab, 1753 West ...>MORE
MEDICAL DELIVERY DRIVER NEEDED Seeley Medical, a respiratory services company, has a full-time opening for a medical delivery driver to setup home resp...>MORE
ASHTABULA AREA CITY SCHOOLS BUSINESS OFFICE
CUSTODIAN, LAKESIDE HIGH SCHOOL 2nd Shift, 2nd Floor, 2:00PM - 10:00PM ...>MORE
QUALITY CONTROL Earn up to $100 a day. Evaluate retail stores. Training provided. No exp req. Call 877-218-6203....>MORE
DRIVERS WANTED DEDICATED ROUTES • Consistent Home Time • $1,100 per wk./avg. • Health + 401k Class-A-...>MORE
Direct Care Staff Residential Treatment Center Hiring part time direct care staff. primarily evenings & weekends. Must be able to pass bac...>MORE
NURSING - LPN Full-time position in a 20 bed residential facility serving the MR/DD population. Apply in person: The Gables, ...>MORE
CLERICAL Collections $12-15/hr Customer Service $10-15/hr Office Asst $10-1...>MORE