bagwell

hmmm never knew...

http://www.chevyhardcore.com/news/ed...-yes-they-did/

When it comes to brand loyalty and fans of the other automakers, GM always gets beaten up for taking bailout money from the TARP fund back in 2009. Ford fans point out that the blue oval crew didn’t take any “bailout money,” which is almost true. When it comes to this topic, its like a duck floating on a pond. Above the water level, everything is calm, but below the water surface, the duck is paddling like hell. If we are talking about Troubled Asset Relief Program (TARP) money, then yes, Ford did not take any money from the TARP fund. Did they get bailout money from other sources in the government? Yes they did… and a lot of it.

Let’s reset the timeline history. The big three automakers appeared before congress in November of 2008, requesting $50 billion to avoid bankruptcy.

Congress put the automakers in the hotseat and refused their initial request, sending the automakers back home to refine their plans. Congress was willing to loan the companies money as long as it was tied to the development of energy efficient vehicles. GM, Ford, and Chrysler wanted another 25 billion from the TARP fund, largely to support the auto unions and jobs within the companies.

In December of 2008, the automakers came back to congress requesting $35 billion, of which congress agreed to $23.4 billion in bailout money using TARP funds.

What The Automakers Got

The breakdown of the Automotive Industry Finance Program had loans to provide operating cash to GM and Chrysler, as well as money available for the car buyers through GMAC. General Motors was awarded a $13.4 billion loan with $6 billion set aside for GMAC. Chrysler was given a $4 billion loan. These amounts were determined to be the best alternatives for the companies by congress.

Does that mean that Ford did not get any money from the governement? Hardly. Congress decided that the best alternative for Ford was to get funds from the Term Asset-Backed Securities Loan Facility (TALF), which is a government program for auto, student, and other consumer loans. These were very low-cost government loans to the tune of $5.9 billion that helped Ford tip-toe past bankruptcy and overhaul their factories to bring out more fuel-efficient technology. The Obama administration’s plans of having a million electric cars on the road by 2015 were being funneled through Ford and two other companies (Nissan and Tesla), and Ford fans had the audacity to call GM “Government Motors.”

That was the tradeoff for Ford. They promised to fast-track development of energy-efficient vehicles and consolidate operations by making “greener” cars that the Obama administration wanted to see.

Ford Credit borrowed $15.9 billion dollars as opposed to GMAC, GM’s financing arm which borrowed $13.9 billion. These numbers make the perception that Ford was the only Detroit-based company that didn’t need a federal handout during the economic crash completely false.

For their part, GM agreed to streamline the number of brands they produce. The big three CEOs agreed to work for $1 a year and sell their corporate jets as well.

Let’s be honest here: Ford has gotten a free pass and earned market shares for being the only US automaker that “didn’t take bailout money,” when they did in fact, take government loans with the condition of making cars that the government wanted. Which company was truly “Government Motors” in the real behind the scenes scenario? That would be Ford, of course.

All of this information is public and easily researched. We don’t want you to take our word for it but we expect you to take a minute and look it up for your own edification. Then the next time a Ford owner says; “At least Ford didn’t take bailout money,” you can call BS and set the record straight.

http://www.forbes.com/sites/joannmuller/2012/08/29/automakers-report-card-who-still-owes-taxpayers-money-the-answer-might-surprise-you/#94bab256a8cd

http://www.factcheck.org/2011/09/ford-motor-co-does-u-turn-on-bailouts/

from 2012....Ford: The Only Domestic Company That Still Owes The Government

http://www.automotive.com/news/ford-...rnment-109409/

The dramatic bailout of GM and Chrysler captured America's attention for those few short months in 2009, as the two companies fought for money from the federal government and received the scrutiny and scorn of conservatives and liberals alike. But despite their bankruptcy, one domestic company (well, the only one remaining) has seemingly escaped the ire of the public eye: Ford, which has taken $5.9 billion from the government in loans—and is still paying it off.

GM and Chrysler have already paid their dues, literally and figuratively, with the United States government. But back in 2009, the Treasury put up $8.8 billion for green energy initiatives known as the Advanced Technology Vehicle Manufacturing program, with $25 billion total earmarked for companies who would borrow the money to build greener cars. Nissan, Tesla, and Fisker all took $2 billion or less, to invest in manufacturing facilities and tooling. All three companies now build electric vehicles and will be paying off their loans in various stages by the end of the year.

And Ford? While arguably the largest company to take this investment, it also took the largest chunk: $5.9 billion, which it says is going towards building the C-MAX Energi and the Focus Electric. It will be spending $14 billion over the next seven years on alternative-fuel vehicles.

Spending money is easy, as we all know. But paying it back off isn't—while Ford will begin repaying the government next month, it estimates that the full amount will be paid off in 10 years.

Remember, all three companies flew down to Washington DC (in private jets, adding to more hubbub) to ask for money back in late 2008, and Ford initially asked for $11.4 billion. The Treasury Department cut it down to the current $5.9 billion,and only if Ford promised to build green cars with it. Like GM and Chrysler, Ford would have faltered if it hadn't gotten its hot cash injection. GM and Chrysler have paid off their debts, for the most part: the government owns a third of GM as well as its finance department, while $1.3 billion may have disappeared into the ether of the bankrupt remains of old Chrysler.

Ford owes $577 million by next year, to kick off payments. Its C-MAX Hybrid will go on sale by the end of the year, with the Energi to come out next year. By the time the Fusion Energi, the Focus Electric, and possibly a hybrid pickup truck roll around, we'll be able to sample the fruits of this loan, and remind ourselves that at least something came from it.

mmarshall

My own opinion is that it doesn't matter as much if Ford actually took government money or not as the fact that it lost a major division.....Mercury. Chrysler had already lost Eagle and Plymouth, and GM was in the prospect of losing Hummer, Saturn, Pontiac, and Saab. With the loss of Mercury, that brought Ford down to only two divisions, as opposed to GM's (current) four and Chrysler's three.

bitkahuna

iTrader: (20)

the article is very biased...

try this for balance...

https://www.thebalance.com/auto-indu...rysler-3305670