MOULTRIE — A structured bankruptcy would be the best way to save the nation’s embattled automakers, U.S. Sen. Saxby Chambliss said Tuesday.
Chambliss, R-Ga., discussed the failed loan package that tanked last week when by a 52-35 vote the Senate failed to bring up for consideration a $14 billion loan package for U.S. automakers. Earlier Chambliss addressed a joint meeting of Kiwanis and Rotary Club members at Sunset Country Club.
“I am opposed to giving these companies money for the single reason the business model under which they operate is in trouble,” Chambliss, one of 32 Republicans who voted against ending debate on legislation, said during an interview following the Tuesday program. “Until they go through internal restructuring (they are) not going to be able to pay us back.”
Chambliss said that automakers’ creditors were willing to make concessions, and management of the companies was willing to restructure but that the automakers’ union was unwilling to make concessions.
“I think some sort of pre-structured Chapter 11 (bankruptcy) would be ideal for the manufacturers,” Chambliss said. “The people I’m concerned about are the dealers.”
A better use of the millions of dollars would be freeing up credit for people to purchase autos, Chambliss said.
“Credit is a major issue,” he said. “The credit sort of constricted to the point where people can’t get loans to buy cars.”
A United Auto Workers spokesman did not return a call Tuesday seeking comment.
The $700 financial package passed by Congress has helped somewhat in loosening credit, he said.
Tight credit also could be a problem for farmers next year as they get ready to plant crops, Chambliss said. The farm bill written this year should help give banks confidence that farmers can repay loans, and the Farm Credit Service also will be able to extend loans.
“Banks are going to be scrutinizing farmers more than ever this year,” Chambliss said.
During the program, Chambliss told his audience that President-elect Barack Obama was not his choice for president but that he is encouraged by his initial contacts with the incoming Democratic leader.
“He’s a very bright guy,” he said. “He’s an affable guy and I like him a lot. He’s surrounded himself with good people, and I think he’s going to be fine. We should all pray for him.”
Chambliss also said that he made a decision in the summer to join a bipartisan group on an energy plan to lower energy costs -- which included opening up more offshore drilling, more nuclear power and recycling of nuclear waste -- although it was not politically popular among many of his Republican colleagues.
Although gasoline prices have declined steeply, Chambliss said those ideas should not be put back on the shelf.
“It’s not going away,” he said. “Now is the perfect time to try doing this and getting toward energy self-sufficiency. I’m pretty excited about looking at this issue going forward.”
Local News
Chambliss prefers a structured bankruptcy plan
- Local News
-
-
2 men charged in 10 burglaries
The arrests of two Moultrie men clears up no less than 10 burglaries from around the county, sheriff’s office investigators say.
Traviskius Sentrell Pate, 29, of 2903 Sylvester Drive, and Freddie Joseph Ross, 20, of 843-A Sixth Street Northwest, were charged Thursday morning with 10 counts each of burglary, according to Colquitt County sheriff’s investigator Shannon Hart. Hart said more charges are possible. -
State rests its case
Prosecutors in the trial of five accused gang members wrapped up on Thursday, but jurors will not begin deliberating the facts of the case until next week.
-
Ryan CAN walk at graduation
A Colquitt County high school senior, who has been taking classes at home because of a developmental disorder, will be able to walk at graduation Saturday after the county board of education reversed an earlier decision barring him.
-
July 31 election taking shape
The second day of qualifying for the July 31 election saw the first two head-to head competitions take shape.
-
Rec Dept. to offer swim lessons
The Moultrie-Colquitt County Recreation Department is set to once again offer swimming lessons to the children in the community.
- Accident sends 1 to hospital
- Your agenda 5/25/12
-
2 candidates qualify for sheriff, District 2 county commissioner
The first day of qualifying set up two contested races in Colquitt County, but voters won’t decide on them until November. Qualifying, which began Wednesday, will continue through noon Friday.
-
Thieves make off with thousands of dollars in jewelry
Several thefts reported to the Colquitt County Sheriff’s Office recently add up to thousands of dollars in loot, including a theft of jewelry estimated at almost $14,000.
-
Hail falls in Omega
- More Local News Headlines
-
VH1's 'Single Ladies' Launches Season 2
Fugitive Penguin Caught, Returned to Aquarium
50 Years Later, Underground Fire Still Burning
Light Show Transforms Sydney Opera House
Raw Video: Unruly Passenger Restrained in Miami
Raw Video: Robber Uses Drive-thru Window
Raw Video: Dragon Arrives at Space Station
Calif.'s Coronado Named Nation's Best Beach
CEO Salaries Become Sore Issue in Labor Disputes
Raw Video: Fight Erupts in Ukrainian Parliament
Texan Ranchers Remain Wary of Drought
Raw Video: Soldiers Plant Flags at Arlington
NJ Official: NYPD Muslim Surveillance Legal
Police: Man Arrested in Etan Patz Disappearance
Hurricane Forecast: 15 Named Storms Expected
NYC Protests: the Revolution Will Be Scripted
Chicago U.S. Attorney Fitzgerald Resigns
Neighbors of Etan Patz's Suspect: It's Shocking
Search Intensifies for Missing Louisiana Woman
Bloomberg: Man Implicates Self in Etan Patz Case
