- Firms must provide warrants for non-voting stock.
- Firms must accept limits on executive compensation and eliminate perks such as corporate jets.
- Debt owed to the government would be senior to other debts, to the extent permitted by law.
- Firms must allow the government to examine their books and records.
- Firms must report and the government has the power to block any large transactions (> $100 M).
- Firms must comply with applicable Federal fuel efficiency and emissions requirements.
- Firms must not issue new dividends while they owe government debt.
- Reduce debts by 2/3 via a debt for equity exchange.
- Make one-half of VEBA payments in the form of stock.
- Eliminate the jobs bank.
- Work rules that are competitive with transplant auto manufacturers by 12/31/09.
- Wages that are competitive with those of transplant auto manufacturers by 12/31/09.
I have not supported the bailout from the day it was proposed. The airlines have almost all gone out of business in the past and for the most part were able to achieve viability at a certain level after emerging from structured bankruptcy (competitiveness in an entirely different question). There are some circumstances that make the auto makers a unique situation, such as their highly interdependent network of suppliers, but that only makes me think that most of these unique circumstances are exacerbating the issue and cannot be allowed to exist independently or considered to be unaccountable for the situation we find ourselves in today. However,after seeing the final terms it has become more clear where Bush is coming from and why this is probably more out of respect for Obama and likely only even a consideration because of requests made by his transition team.
Love to hear everyone's thoughts.