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“Binders Full Of Lies”: Mitt Romney Doubles Down On Auto Industry Lies

Mitt Romney has tried to dodge, bob, weave, change the subject, and pretend it didn’t happen when it comes to his position on the automobile companies.

But obfuscation is not enough for Mitt Romney: Now he is resorting to an outright lie in his speeches and in his last minute, desperate advertising. In fact, two big lies.

Lie No. 1: Contrary to Romney’s claim, Detroit and Chrysler are not moving jobs and the making of Jeeps to China. In fact, they are selling Jeeps to China and they are adding $500 million and 1,100 workers to their Ohio Jeep plant. Chrysler smacked down Romney’s lie when he first said it and now Romney is up with an ad repeating the lie, ignoring Chrysler.

Chrysler Chief Executive Sergio Marchionne was forced to send employees an E-mail Tuesday afternoon: “I feel obliged to unambiguously restate our position: Jeep production will not be moved from the United States to China.”

Hello, Mitt? Apologize and take down your TV ad. Instead, he is buying more air time and putting up radio ads with the same lie.

But it gets worse.

Lie No. 2: This is the one Romney has been repeating over and over about the American auto industry—he would have saved it with his “managed bankruptcy.” I worked for GM; there was no way the auto companies could have survived without Barack Obama’s rescue and with the decision to provide bridge loans and government help. Romney’s plan was not Obama’s plan—as he would try and make you believe. His plan was to get private capital, and as Steve Rattner, who ran the rescue team, and everyone else has stated, there was no private money. Even the conservative Detroit News praised President Obama and referred to Romney’s “wrong-headedness on the auto bailout…he was wrong in suggesting the automakers could have found operating capital in the private markets.”

When Romney called for letting Detroit go bankrupt, he meant it, because his view was the popular one at the time—no more bailouts, no more government money or intervention, enough already. Romney was playing politics. And he knew no one would buy a car from a bankrupt car company, unless the government stepped in to help

Now that the hard decision that President Obama made to provide government loans is popular, Romney is singing a different tune. He is not only trying to give voters the impression that he would have saved Detroit, which is absurd, he is implying that Obama is part of a plot to ship Jeep jobs to China.

Romney will lie and say anything to get elected. Let’s hope the people of Ohio and the United States see through it by next Tuesday.

By: Peter Fenn, U. S. News and World Report, October 30, 2012

October 31, 2012 Posted by | Auto Industry, Election 2012 | , , , , , , , | 1 Comment

“Wealth-Tainted Asides”: Mitt, Michigan And A Couple Of Cadillacs

Mitt Romney just can’t stop wealth allusions from creeping into the conversation.

He did it again on Friday. At the end of a speech about his economic plan before the Detroit Economic Club, when it felt as though he was just winging it, he said: “I love this country. I actually love this state. This feels good being back in Michigan. Um, you know the trees are the right height. The, uh, the streets are just right. I like the fact that most of the cars I see are Detroit-made automobiles. I drive a Mustang and a Chevy pickup truck. Ann drives a couple of Cadillacs, actually.”

Two Cadillacs?

That’s rich, literally.

That’s not what you want to say when you are in Detroit, which, as I pointed out last week, has the highest poverty rate of any big city in America.

That’s not what you want to say in a city where Megan Owens of the Detroit-based advocacy organization Transportation Riders United said on Friday that roughly half of its bus service has been eliminated in the past five or so years.

That’s not what you want to say when discussing a tax-cut plan that, according to models prepared by the Tax Policy Center, would heavily weight the benefits toward the top of the income spectrum.

That’s not what you want to say when, as David Cay Johnston of Reuters pointed out this week, Romney’s plan would:

“Raise taxes on poor families with children at home and those going to college. Romney does this by reducing benefits from the child tax credit and the earned income tax credit and by ending the American Opportunity tax credit for college education.”

That’s probably not the thing to say in Detroit after arguing in a now-famous New York Times Op-Ed article against the auto bailouts, saying: “If General Motors, Ford and Chrysler get the bailout that their chief executives asked for yesterday, you can kiss the American automotive industry goodbye.”

That was probably not the thing to say on the day after Steven Rattner, the lead adviser on the Obama administration’s auto task force in 2009, smacked you down in a New York Times Op-Ed article for suggesting that the government “should have stayed on the sidelines” and allowed the companies to go through “ ‘managed bankruptcies’ financed by private capital.”

As Rattner put it:

“That sounds like a wonderfully sensible approach — except that it’s utter fantasy. In late 2008 and early 2009, when G.M. and Chrysler had exhausted their liquidity, every scrap of private capital had fled to the sidelines. I know this because the administration’s auto task force, for which I was the lead adviser, spoke diligently to all conceivable providers of funds, and not one had the slightest interest in financing those companies on any terms. If Mr. Romney disagrees, he should come forward with specific names of willing investors in place of empty rhetoric. I predict that he won’t be able to, because there aren’t any.”

Ouch. I need to catch my breath after that one.

O.K., carrying on.

The “couple of Cadillacs” comment probably wasn’t the thing to say the day after the Pew Research Center found that most Americans now support the bailouts, with 56 percent saying “the loans the government made to G.M. and Chrysler were mostly good for the economy.”

That probably wasn’t the thing to say in a city where you published an op-ed in The Detroit News on Valentine’s Day continuing to argue against the bailout, saying:

“This was crony capitalism on a grand scale. The president tells us that without his intervention things in Detroit would be worse. I believe that without his intervention things there would be better.”

That probably wasn’t the thing to say the week that your campaign felt the need to remove this lovely little passage from The Detroit News’s endorsement of you before sending it to reporters:

“We disagree with Romney on a point vital to Michigan — his opposition to the bailout of the domestic automobile industry. Romney advocated for a more traditional bankruptcy process, while we believe the bridge loans provided by the federal government in the fall of 2008 were absolutely essential to the survival of General Motors Corp. and Chrysler Corp. The issue isn’t a differentiator in the G.O.P. primary, since the entire field opposed the rescue effort.”

The Detroit Free Press’s endorsement this week echoed the complaint about Romney’s opposition on the bailouts, calling him “dead wrong” and saying that in the past year he has been “refashioning himself as something other than what his record suggests. He has made gestures toward economic and social radicalism, and eschewed the common sense of cooperative governing that made him a success in Massachusetts.”

But what is likely more telling about Romney’s ineloquence and continued wealth-tainted asides that draw attention away from his message onto his wallet is this gem from his Friday endorsement by The Arizona Republic:

“There are better orators in American politics. Indeed, the Democrats appear to have one. And certainly there are Republicans who better project the passion for the office they seek. Steady, unflappable Romney would not a ‘passion president’ make.”

So, poor oratory, anemic passion, possessed of “utter fantasy,” and gestures toward radicalism while cruising in a couple of Caddies: That’s probably not the image you want going into a make-or-break primary.

By: Charles Blow, Op-Ed Columnist, The New York Times, February 24, 2012

February 25, 2012 Posted by | Auto Industry, Election 2012 | , , , , , , | Leave a Comment

“Son Of Detroit”: Mitt Romney Overplayed His Hand In Michigan

In the campaign world, it’s almost a cardinal rule:  Undersell your chances, then overdeliver at the ballot box. Former Gov. Mitt Romney never got the memo on this, and he might well pay a severe price for this misstep in next week’s Michigan primary.

After squeaking by in the disputed Maine nominating contest and getting clocked by Santorum in Missouri, Minnesota, and Colorado before  that, Romney’s veneer of invincibility was gone and his campaign was left to deal with a harder question: Could he lose his home state of Michigan?

True, Romney was born in Michigan, where his father was a prominent auto executive and later governor. But Mitt Romney is more identified with Massachusetts, where he served as governor, or even with Mormon (like him) Utah, where he rescued the 2002 Winter Olympics.

He could’ve had it both ways. He could’ve acknowledged his  family’s deep connection to Michigan without declaring himself “a son of Detroit.” Expectations would’ve been lower, and the connection—for any   benefit it may hold next Tuesday—would’ve been solidified.

But he used those exact words—son of Detroit—to describe himself in a widely circulated  op-ed in The  Detroit News.

This went over about as well as could be expected for the campaign that can’t seem to shoot straight in recent weeks. Poll numbers barely  budged. Talk of losing the home state intensified—one Republican U.S. senator   said,  “If Romney cannot win Michigan, we need a new candidate.” And the campaign had to pull out the checkbook and again try to buy a primary by carpet-bombing the opponents with negative ads.

Then, in hardscrabble Michigan—home to shuttered factories,  high unemployment, and one of the weakest state economies in the nation—Romney  decided to unleash his secret weapon—Donald Trump. The Donald, who endorsed Romney after his own campaign flamed out, toured the  state stumping for Romney and, no doubt, making deep connections with working-class or wish-they-were-working-class voters  in the Wolverine State.

At that point, the Obama campaign no longer could resist joining in the fun. A super PAC associated with the president made its own huge ad buy to thwart Romney’s plan for a happy homecoming. It’s like the Fourth of July in Michigan right now—negative ad bombs going off in  every direction.

And because Romney could not leave well enough alone, could not underpromise and overdeliver, and could not resist calling himself “a  son  of Detroit,” his campaign has spent the last two weeks trying to douse the political equivalent of a five-alarm fire.

Romney should’ve focused on Arizona all along. Its primary—the same  day as Michigan’s—yields 29 delegates in a winner-take-all format. Michigan’s yields 30, awarded proportionally. If Romney hadn’t spent a dime on Michigan, he probably would’ve ended up with more delegates on the day than his current chief rival, former Sen. Rick Santorum. Santorum lags in the polls in Arizona and didn’t help himself with a poor debate performance in the state on Wednesday night.

Ironically, as we inch closer to the two primaries next Tuesday, Team Romney has begun to lower expectations in Michigan—to say the state is not, in fact, a must-win for his campaign. No kidding.

But the Romney camp could’ve saved itself a lot of money and a giant headache if it had started off trying to shape the narrative rather than becoming beholden to it.

 

By: Fred O’Connell, U. S. News and World report, February 24, 2012

February 25, 2012 Posted by | Auto Industry, GOP Presidential Candidates | , , , , , , , | Leave a Comment

“Drug-Addled Wrong”: Mitt Romney Condemns The Auto-Industry Rescue

Looking back over the last three years, there’s arguably no better example of a policy Republicans got wrong than the rescue of the American auto industry.

When President Obama launched his ambitious policy in 2009, he was taking a major gamble — not only with the backbone of American manufacturing, but with his presidency and its ability to use the power of government to repair a private industry facing collapse. As First Read noted at the time, “As the GM bailout goes, so goes the Obama presidency.”

We now know the gamble paid off. Chrysler has posted its first profit in 15 years; GM is building new American facilities; and plants are operating at a capacity unseen in a long while. General Motors went from the brink of total failure to reclaiming its spot as the world’s top automaker, and as the Wall Street Journal reported earlier this month, “The auto industry hasn’t just turned the corner. It’s starting to accelerate.”

Had it not been for the Obama administration’s policy, these heartening headlines would have been impossible. And yet, Mitt Romney still isn’t happy.

In a new Detroit News op-ed, the former Massachusetts governor says he’s glad the industry still exists, but proceeds to complain anyway about the way in which Obama rescued GM and Chrysler from an imminent collapse.

Three years ago, in the midst of an economic crisis, a newly elected President Barack Obama stepped in with a bailout for the auto industry. The indisputable good news is that Chrysler and General Motors are still in business. The equally indisputable bad news is that all the defects in President Obama’s management of the American economy are evident in what he did.

Instead of doing the right thing and standing up to union bosses, Obama rewarded them…. By the spring of 2009, instead of the free market doing what it does best, we got a major taste of crony capitalism, Obama-style.

It takes a fair amount of chutzpah to face a crisis, get it wrong, then whine about the way in which the other guy got it right.


This is a subject Romney would be better off ignoring. After all, in 2009, he famously urged policymakers to “let Detroit go bankrupt.” Romney was so certain Obama’s policy would fail, he said Americans could “kiss the American automotive industry goodbye” if Obama’s policy moved forward in 2009. Indeed, at the time, Romney called the administration’s plan “tragic” and “a very sad circumstance for this country.” He wrote an April 2009 piece in which he said Obama’s plan “would make GM the living dead.”

With the benefit of hindsight, we now know all of Romney’s warnings were wrong. For him to double down today on the virtues of letting Detroit go bankrupt is just bizarre.

I’m reminded of this clip, which Democrats gleefully put together last summer.

Of particular interest is the last quote in the clip, in which a Chrysler executive responded to a Romney quote by saying, “Whoever told you that is smoking illegal material. That market had become absolutely dysfunctional in 2008 and 2009. There were attempts made by a variety of people to find strategic alliances with other car makers on a global scale and the government stepped in, as the actor of last resort. It had to do it because the consequences would have been just too large to deal with.”

In other words, Romney wasn’t just wrong; he was drug-addled wrong.

To be sure, the former governor wasn’t the only Obama critic whose predictions now look foolish, but Romney is the one who still likes to pretend he was right.

Even the complaints themselves are strange. As Marcy Wheeler explained, Romney’s “basically complaining that the bailout preserved the healthcare a bunch of 55+ year old blue collar workers were promised. He’s pissed they got to keep their healthcare. He’s also complaining that banks took a haircut.”

I haven’t talked to the White House about this, but I suspect if 2012 comes down to a debate over who was right about the auto-industry rescue, Obama likes his chances.

 

By: Steve Benen, The Maddow Blog, February 14, 2012

February 16, 2012 Posted by | Auto Industry, Economic Recovery | , , , , , , , | Leave a Comment

“Half-Time In America”: It Isn’t Political, It’s American

Many Republicans want President Obama to fail. That’s  completely understandable and defensible, if one is talking about success or  failure in his re-election campaign. It’s stunning when that’s extended to the  performance of the economy as a whole or any of the nation’s job-supplying  industries.

Thus we have uber-political operative Karl Rove  complaining about how offended he was by a Super Bowl TV ad, sponsored by  Chrysler, which  extolled the recent resurrection of the nation’s auto industry.  The ad  featured tough-guy actor Clint Eastwood talking about the remarkable   comeback of the auto industry, and underscoring the qualities which  truly  characterize the best of America—resilience, optimism, sacrifice,  and hard  work. The script of the commercial, “Halftime in America,” is  as inspiring as  any speech made by an actor in a movie or a political  candidate in a campaign:

It’s halftime in America, too. People are out of  work and they’re  hurting. And they’re all wondering what they’re going to do to  make a  comeback. And we’re all scared, because this isn’t a game.

The people of Detroit know a little something about this. They  almost  lost everything. But we all pulled together, now Motor City is fighting   again.

I’ve seen a lot of tough eras, a lot of downturns in my life. And,   times when we didn’t understand each other. It seems like we’ve lost our  heart  at times. When the fog of division, discord, and blame made it  hard to see what  lies ahead.

But after those trials, we all rallied around what was right, and   acted as one. Because that’s what we do. We find a way through tough  times, and  if we can’t find a way, then we’ll make one.

All that matters now is what’s ahead. How do we come from behind?  How do we come together? And, how do we win?

Detroit’s showing us it can be done. And, what’s true about them  is true about all of us.

This country can’t be knocked out with one punch. We get right  back  up again and when we do the world is going to hear the roar of our  engines.

Yeah, it’s halftime America. And, our second half is about to  begin.

Really, could anyone have a problem with that ad? It featured   scenes of Detroit, and of middle-class people, working hard in a  struggling  economy and trying to make their city and their lives  better.

Yes, Rove had a problem with it. He said he was “offended” by  the spot, adding on Fox News:

I’m a huge fan of Clint Eastwood, I thought it was an  extremely  well-done ad, but it is a sign of what happens when you have   Chicago-style politics, and the president of the United States and his   political minions are, in essence, using our tax dollars to buy  corporate  advertising.

Rove seems to be referring to President Obama’s bailout of the  auto  industry, and suggesting that somehow that money was used to pay for a   thinly-disguised campaign ad for the Obama re-election campaign. A lot  of  Republicans were opposed to the bailout, saying the companies should  be subject  to the rules of capitalism. GOP presidential contender Mitt  Romney famously  penned a New York Times op-ed  entitled “Let Detroit Go Bankrupt.”

What is it about Detroit that so many conservatives despise? That   it’s a still-breathing example of the “old economy?” Is it Motown music  they  hate, or the fact that it’s full of labor union members? Is the  distaste for  struggling Detroit so pronounced that people actually want  the city to fail?

Had the auto companies indeed failed despite the bailout, Rove and   Romney would have looked brilliant. But the companies are recovering  nicely,  paying back their loans (with interest), and making profits, in  part because of  concessions made by the labor unions so despised by  conservatives.

There is surely a legitimate philosophical argument to be made  that  the government should not bailout out big businesses (an argument not   often extended to include huge tax breaks for profitable industries).  Pure  capitalism indeed stipulates that businesses should succeed or  fail on their  own. Critics can legitimately argue that government  should not prop up any  industry, no matter what the implications for  employment. They can be angry  that the auto bailouts happened, but it’s  unconscionable to be angry that the  bailouts worked. Comebacks—as the  New York Giants proved, winning the Super  Bowl after an uneven  season—are about as American as it gets.

 

By: Susan Milligan, U. S. News and World Report, February 7, 2012

February 7, 2012 Posted by | Auto Industry | , , , , , , , , | Leave a Comment

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