Comments on: Hedge Fund Concern Troll: Chrysler is a Terrible Precedent

By: masaccio

masaccio — Sat, 23 May 2009 20:09:04 +0000

I expect that the Union will sell the stock as quickly as possible, and use the cash to fund the operation of the health plan.

That 363 sale did happen quickly, which is another reason to be pleased with the hiring of Rattner.

By: Ishmael

Ishmael — Sat, 23 May 2009 19:17:27 +0000

It should also be pointed out that the unions are not getting any cash out of Chrysler, only equity, and lower wages and benefits in the future. Only the bondholders are getting any cash.

http://blogs.reuters.com/felix.....able-deal/

By: Ishmael

Ishmael — Sat, 23 May 2009 19:09:56 +0000

Indeed, and the US government recognizes that time is of the essence – they are looking for expedited approval of the Chrysler 363 sale this Wednesday – I was shocked at how quickly they were able to get this done, and avoid further wasting of Chrysler assets and market share.

By: masaccio

masaccio — Sat, 23 May 2009 18:49:54 +0000

Probably. The costs of an extended bankruptcy are really high, possibly fatal to the company and its supply chain.

By: RAMA

RAMA — Sat, 23 May 2009 18:40:01 +0000

Since the bastards almost wrecked the country and continue to drive the price of oil through the roof, I figure anything that is bad for hedge funds is good for America.

By: Beerfart Liberal

Beerfart Liberal — Sat, 23 May 2009 17:17:33 +0000

the lenders will get less in bankruptcy than they could have from a deal with Rattner, yes?

By: Beerfart Liberal

Beerfart Liberal — Sat, 23 May 2009 17:11:32 +0000

Shultzie knew damn well what he was doing. took a risk. wanted to make money. that’s capitalism ain’t it? you lose Schultze. Tough shit.