Entries in General Motors (4)


Paul Ryan’s Disputed GM Claim Pops Up in Iowa Ad

Alex Wong/Getty Images(PORTLAND, Ore.) -- A conservative superPAC is taking part of Paul Ryan’s convention speech that brought him under fire for inaccurately blaming President Obama for a GM plant’s closing and using his words in a new ad attacking Obama and backing up the GOP ticket.

Ryan came under scrutiny after his Republican National Convention speech implied it was Obama’s fault that a GM plant in his hometown of Janesville, Wis., closed down, although it shut its doors before the president came into office.

The ad from the American Future Fund, named “Janesville,” will run in Des Moines and Cedar Rapids in the battleground state of Iowa with a $150,000 buy.

The ad starts begins with  ”His words gave us hope” written across the screen and then goes to Obama’s 2008 speech at the plant 10 months before it shut down during the Bush administration.

“I believe that if our government is there to support you and give you the assistance you need to retool and make this transition that this plant will be here for another 100 years,” then-candidate Obama said.

The ad then moves to Ryan’s convention speech in Tampa:

“Well as it turned out that plant didn’t last for another year,” Ryan said, referring to the president’s trip to the plant, but not mentioning it closed down under a different administration. “It is locked up and empty to this day and that’s how it is in so many towns where the recovery that was promised is nowhere in sight.”

The Ryan footage continues: “We have suffered no shortage of words in the White House, what is missing is leadership in the White House.”

The Obama campaign responded that the ad is based on a premise that has been disproven, and pointed to the success of president’s plan to bail out GM and Chrysler.

“This is an attack that’s been repeatedly debunked,” Obama campaign spokesman Danny Kanner said. “Here are the facts: President Obama bet on the American worker and now GM and Chrysler are in existence, creating jobs, and posting some of their most profitable quarters in history. If Mitt Romney had had his way, we would have ‘let Detroit go bankrupt,’ and the American auto industry and the more than 1 million jobs it supports would cease to exist.”

Copyright 2012 ABC News Radio


Paul Ryan to Joe Biden: General Motors Isn’t Alive in My Hometown

ABC News(NEW YORK) -- Ahead of the Democratic National Convention, Vice President Joe Biden summed up how Democrats hope the country views the past four years, telling a Detroit Labor Day crowd that “Osama bin Laden is dead and General Motors is alive.”

But vice presidential candidate Paul Ryan shot back on Tuesday, telling ABC's George Stephanopoulos that General Motors isn’t alive in his hometown of Janesville, Wis.

“The president came to Janesville…before the plant shut down and said he would lead an effort to retool the plant.  After the plant was shut down he said he would lead an effort to retool the plant to get people back to work.  They’re still not back to work,” Ryan said.  “I really ask the 23 million people George who are struggling to find work in America today if we’re better off than we were four years ago?”

The congressman says the Romney-Ryan ticket offers “big solutions in a big year” to create jobs, lower our debt, lower our taxes and create economic growth.  But the Democrats are taking aim at those ideas, accusing the Romney tax plan of raising taxes on the middle class by $2,000.

“Not true. What we’re saying is we’re going to reduce people’s tax rates by 20 percent and we’ll do it by closing loopholes.  Here’s the point, George. We believe that there’s a bipartisan consensus to be had through this kind of tax reform,” Ryan said.  “Democrats like the Simpson-Bowles Democrats agree with us that we should be lowering tax rates and broadening the base by plugging loopholes so that people get to keep more of their own money, so that families with small businesses can have a fair, simple…tax system. We think that’s one of the keys to economic growth.”

The non-partisan Tax Policy Center analyzed Ryan’s budget plan and said that he cannot lower taxes and raise enough money by just going after loop holes.

Ryan disagreed.

“What other groups have shown is you can do this.  Look, George, economic growth is the key to this and one of the keys to economic growth is tax reform.  And when we keep taxing our families and successful small businesses at much higher tax rates than our foreign competitors tax theirs, we make our businesses less competitive,” he said.  “Don’t forget the fact, George, that eight out of 10 businesses file their taxes as individuals.  President Obama wants their tax rate to go above 40 percent.  Other countries are lowering their tax rates on their businesses.  President Obama is promising a higher tax rate.  More to the point, he uses this money for more spending.  We don’t think we should be taxing small businesses and families more to spend the money in Washington.”

On the campaign trail, Ryan has accused Democrats of “raiding” Medicare by taking $716 billion to pay for the president’s health care plan.

And although Ryan wrote and pushed a budget through the House with those same savings, he told Stephanopoulos his budget is based on current law.

“Don’t forget the fact that we’ve already vote and we’ve already proposed to repeal Obamacare, every part of Obamacare, including this raid of $716 billion from Medicare to pay for Obamacare.  They can’t have it both ways, George.  You can’t spend the same dollar twice.  You can’t say that Obamacare is a cost-saver and that we’re extending the life of Medicare.  One or the other.  The point is, and this has been pretty well verified and established, taking $716 billion from Medicare to finance Obamacare, that really is a raid of Medicare for Obamacare.  We think that’s wrong.  Our plan to save Medicare does not affect or change the benefits for any that is in or near retirement,” Ryan said.

Copyright 2012 ABC News Radio


Obama Michigan TV Ad Jabs Romney on Controversial Auto Bailout

JIM WATSON/AFP/Getty Images(WASHINGTON) -- Just days before the Michigan GOP primary, the Obama campaign has taken a swipe at former Gov. Mitt Romney in a new TV ad that contrasts the president’s support for a 2009 bailout of Detroit-based GM and Chrysler with Romney’s opinion that they should go through bankruptcy without taxpayer help.

“When a million jobs were on the line,” the narrator says of the 2008 financial crisis that consumed the automakers, “every Republican candidate turned their back.”

“Even said ‘Let Detroit go bankrupt,'” flashing Romney’s face and the headline from his November 2008 op-ed in the New York Times.  (It should be noted that Romney never said those exact words; they were affixed to his op-ed by a Times editor.)

Democrats have made the financial rescue the centerpiece of their campaign in Michigan, hammering Romney for weeks in an effort to undermine support for him in a state where automakers and their suppliers are the largest employers.

Romney said he wanted a “managed bankruptcy,” whereby the companies would have been restructured without taxpayer funds.  Many experts, however, doubt they could have survived without the advance aid.

The Obama administration claims the infusion of more than $40 billion in government cash to keep the companies afloat saved more than a million jobs and led to more than 200,000 jobs created at the companies since June 2009. His critics doubt a million jobs would have been lost, and argue bond holders would have been able to recover their investments had a bankruptcy would have been allowed to proceed.

GM reported last week a record profit for 2011 and reassumed the mantle of the number one automaker in the world.  The company also said its 47,500 union workers would receive $7,000 each in shared profits -- the largest sum ever.

The gains, however, have come at a cost to taxpayers.

Chrysler has paid back only $10.6 of $12.5 billion received from the government under Presidents George W. Bush and Obama, according to figures provided by the White House.

GM has repaid $26 billion to date, after receiving $13.4 billion under Bush and $36.1 billion under Obama.  The Treasury Department continues to own 500 million shares of GM stock, or roughly 32 percent of the company.  The price of those shares will determine how much taxpayers will recoup or lose, if and when the government sells.

The new Obama ad, the campaign’s second of the 2012 cycle, will run in four Michigan markets -- Detroit, Grand Rapids, Lansing and Flint, an official said.

Copyright 2012 ABC News Radio


Romney 'Delighted' GM is Profitable; Picks Up Mich. Endorsement

J.D. Pooley/Getty Images(FARMINGTON HILLS, Mich.) -- Hours after General Motors announced that it earned its highest profit in its storied history last year, Mitt Romney said he is “delighted” at its success, taking credit for the managed bankruptcy that helped to rescue the struggling corporation, saying he “recommended from the very beginning.”

“I love the businesses of this state, I love the auto industry I want to see it thrive and grow,” said Romney, speaking at a luncheon at the Greater Farmington-Livonia Chamber of Commerce. “I’m glad it went through a managed bankruptcy process which I recommended from the very beginning to shed unnecessary costs and get its footing again. I’m delighted it’s profitable.”

“In my view, this auto industry can continue to lead the world and must continue to lead the world to keep Detroit with a vibrant and prosperous future,” said Romney.

GM reported earnings Thursday of $85 billion in 2011, a 62 percent increase from 2010. The Bush Administration provided $25 billion in emergency assistance to the auto industry -- $13.4 to GM, another $4 billion to Chrysler.  The Obama administration added another $60 billion shortly after President Obama took office.

Romney, a long opponent of the auto bailout, has said the program was an example of “crony capitalism” by the Obama administration, which sought to reward union bosses at the expense of the bond holders.

Romney also officially received the endorsement of Michigan Gov. Rick Snyder during the luncheon, which took place just 17 miles from Bloomfield Hills, the suburb where Romney was raised.

Copyright 2012 ABC News Radio

ABC News Radio