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In case anyone continues to doubt the contempt El Hefe harbors toward the lawful claims of capital or the law of secured lending and bankruptcy, here's an excerpt from a New York Times "live blog" of a conference call with GM CEO Fritz Henderson:
10:00 a.m. | Treasury Dictated Terms for Bondholders: Mr. Henderson said the Treasury told G.M. to offer its bondholders up to a 10 percent stake in the company in return for the $27 billion in debt that they hold but did not give a reason why. Bondholders have said the stake is too small compared to what others are receiving. The current plan calls for 89 percent of a restructured G.M. to be held by the Treasury and the U.A.W.=93They didn=92t support us going above 10 percent,=94 Mr. Henderson said. =93We went to the maximum that they permitted us.=94
Hugo Chavez -- or even Fidel Castro -- could not have better expressed their disregard for the law, in favor of their political cronies. I expect our own El Hefe to cut a sharper figure than either of those guys, when he starts appearing in public in his pseudo-military uniform with all the braid and medals.
No, wait, El Hefe's got another deal going with the union at Hart Shaffer Marx, his favorite suit maker located back home in Illinois. After he's finished strong-arming a TARP-dependent Wells Fargo into waiving its secured rights and turning ownership of that private business over to the union, El Hefe will surely feel obliged to continue wearing the Hartmarx products. I just hope THOSE jobs don't end up costing us $250,000 apiece.
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