Back to the drawing board

News from Washington over the weekend that the CEO of GM was ousted at the recommendation of President Obama, gives new meaning to the power of the Presidency. Headlines hitting the internet and newspapers this morning has it that not only GM, but Chrysler is in trouble of surviving much longer, without filing for Chapter 11 bankruptcy protection. It seems their business plans did not pass muster with the White House and now must go to plan B. Chrysler has 30 days to make a deal with Fiat and improve their outlook, while GM will be given 60 days to tweak their restructuring proposal under their new President and CEO, Fritz Henderson. The plans that were previously submitted were deemed, "not viable". Read the full story here:

Obama aides flunk GM and Chrysler

If Chrysler succeeds in a setting up a "viable" plan with Fiat, they can expect to receive up to $6 billion more from the government to keep them alive. GM doesn't have a set amount of cash on the table, but will be under the close scrutiny of the administration to restructure the company or else. So what does this mean for you and me? Hard to say, so far, except that we taxpayers could be on the hook for at least $6 bil more. The real pressure is on the people who's jobs are on the line right now. Things could get real interesting in Detroit right now, and I'm not talking about the Final Four! The Big 3 might just be the Big 2 or the Big 1, a couple of months from now! But hey, at least our warranties are safe!