Comment

UAW Will Own 55% of Chrysler

325
eschew_obfuscation4/28/2009 1:14:11 pm PDT

re: #269 looking closely

Here’s the bottom line:

So long as unions are running the show, the company will be non-competitive and will eventually go bankrupt.

This effort is just taking money from the taxpayer, and using it to subsidize the unions for a few more years until that happens.

Worse, by the time Chrysler actually collapses, Obama will probably be out of office and unaccountable.

I’m not sure this will prove to be a problem for two reasons.

1) Ownership only translates to control to the extent that the owners control the board of directors. My understanding is that the union will have only one rep on the board.

2) I would guess that the stock held by the union will be sold off gradually as obligations under the retirement plan come due and cash is required (unless some sort of retirement fund ponzi scheme makes cash available as needed).