Friday, April 3, 2009

General Motors (GM) and Chrysler will receive bridge loans from the government of Canada and the provincial government of Ontario, however no more will be forthcoming from either Canadian or US governments unless the companies can reinvent themselves.

“This is a regrettable but necessary step to protect the Canadian economy. We are doing this on the assumption that we obviously cannot afford either in the United States or Canada a catastrophic short-term collapse.” said Stephen Harper, Prime Minister of Canada.

“We cannot, we must not, and we will not let our auto industry simply vanish. This industry is, like no other, an emblem of the American spirit; a once and future symbol of America’s success,” said Barack Obama, President of the United States. “These companies – and this industry – must ultimately stand on their own, not as wards of the state.”

Chrysler will receive CA$1 billion and may in fact be eligible for as much as CA$4 billion. If Chrysler succeeds in the next 30 days with a restructuring plan it would be eligible for a US$6 billion loan. A part of Chrysler’s restructuring plan must include a partnership with Fiat within 30 days to appease the US administration. Fiat is a supplier of smaller fuel-efficient vehicles, and the merger will help Chrysler to be viable in the North American market. A Chrysler court bankruptcy would inevitably lead to it being sold off.

As a part of Chrysler’s restructuring plans, Tom LaSorda, the president of Chrysler announced that Canadian operations would fold if it does not receive both the US commitment of $2.3 billion of aid and a new Canadian Auto Workers CAW contract to reduce all-in costs by CA$19 per hour. As a result of this announcement Chrysler’s auto sales volume in Canada dropped 23% compared to March of 2008.

GM has until the end of May to restructure its company to receive up to CA$7.5 billion. As part of the companies restructuring, General Motor’s chief executive Rick Wagoner was replaced Sunday with Fritz Henderson, the current chief operating officer. Henderson spoke out on Tuesday that GM has submitted a restructuring plan which would close five plants, and this may be increased to meet the requirements for financial aid. He is in full compliance with Obama’s auto task force to seek bankruptcy if GM cannot negotiate with their unions, bondholders and others.

GM recently brought forward the “GM Total Confidence” program providing consumer purchase protection for customers who lose their job for economic reasons within the first two years from purchase. As a result of Chrysler’s restructuring announcement in Canada, GM’s Canadian vehicle sales volume fell only 17.3% compared to 2008, an increase from the previous month.

GM must reduce some of its legacy costs which include its pensions and union health care costs. A part of GM’s ailments arose from investing in supplying truck and SUVs during an economy of high gas prices when consumers were demanding fuel efficient vehicles.

Tony Clement, Canada’s Minister of Industry, is hoping that the CAW will support the restructuring process and re-negotiate their agreement. Whereas a United Auto Workers negotiator has said, “I don’t see how the UAW will do anything until they see what the bondholders will give up.”

The Obama administration is looking toward bankruptcy proceedings for the automakers, “as a mechanism to help them restructure quickly and emerge stronger. [It will] quickly clear away old debts that are weighing them down. What we are asking is difficult. It will require hard choices by companies. It will require unions and workers who have already made painful concessions to make even more. It will require creditors to recognise that they cannot hold out for the prospect of endless government bailouts.” said Obama.

The auto parts suppliers and IT software exporters in India have already been affected by the declining auto sales. GM and Chrysler software contracts provide US$300 to 350 million a year to vendors in India. As well these two major automakers usually award US$1 billion contracts to auto parts suppliers. “We are worried and closely watching the developments in the US to gauge the impact. The decline in auto sales in the US has already hit the order books of Indian suppliers,” said a Delhi auto parts supplier.

“Going forward, the industry will undoubtedly be smaller, but if our efforts are successful it will be viable and it will support good jobs for Canadians,” said Clements.

Betty Sutton, Ohio’s Congresswoman put forward the CARS act which provides a US$3,000 to 5,000 incentive for those who trade in their vehicle for a fuel-efficient car. “It clearly stimulates the economy, and it gets the consumer into the showroom and gets them buying again. But importantly — and this is what I particularly like about it — it really helps the environment quite a bit in two respects.” said William Clay Ford Jr., executive chairman of Ford Motor Co.

Ford Motor Company has not come forward with requests for assistance.

Since December GM and Chrysler have received US$17.4 billion government loans.

Tuesday, October 24, 2006

The upcoming 2006 Brampton municipal election, to be held November 13, features an array of candidates looking to represent their wards in city council or the council of the Peel Region.

Wikinews contributor Nick Moreau contacted many of the candidates, including Stephanie Beaumier, asking them to answer common questions sent in an email. This ward’s incumbent is Grant Gibson, also challenging Gibson is Malcolm Jones, Larry Lee, Jeffrey Schrik, Jagtar Shergill, and Whoston Wray.

Thursday, December 13, 2007

Although the 2007 Taipei IT Month closed last Sunday (December 9), it attracted more than 750,000 people to visit the show, but it exposed some problems especially on the traffic factor.

Generally on weekdays (December 3-7), the traffic jam at Shi-fu Road often took place in the afternoon as many schools visited the show and several sightseeing buses sometimes parked there for patronages on students. In comparison with Sung-shou Road, Shi-fu Road was sometimes obstructed but not as serious than on weekends because the official shuttle buses played a key role on transportation.

On the opposite way of two weekends (December 1, 2, 8, and 9), it exposed traffic problems as many people visited the show, even though the Traffic Division of Taipei City Police Department set medians around the Taipei World Trade Center and the Taipei 101, and it apparently decreased violations on illegal crossing, Shi-fu Road and Sung-shou Road were still trapped in traffic jams than on weekdays.

Before the launch of the TWTC Nangang in March 2008, governments and show organizers will focus on the traffic issue at the Taipei World Trade Center during the construction of the MRT Taipei World Trade Center Station.

Friday, April 18, 2008

Police have been given seven days to question the suspected terrorist who was arrested in Bristol, United Kingdom today.

After the seven days, the suspect will have to be released or charged, unless an extension is granted.

The BBC has reported that the person who was arrested is approximately nineteen years old. He has been named as Andrew Ibrahim.

A representative of the Bristol Cultural Muslim Society commented on the developments, “We hope the individual concerned is innocent and that this turns out to be a false alarm.”

It has also recently been confirmed by the police that a suspicious object was found at the scene.

He was arrested in Bristol, United Kingdom on suspicion of terrorism earlier today. There was also a controlled explosion. Parts of the city were evacuated.

Avon and Somerset police have also recently said that “It is anticipated that due to the nature of the offences believed to have been committed, work at the scene may take a number of days.”

Rod Hansen, from the police force commented on the arrest. “This has been a large scale operation and we have called upon the expertise and professionalism of staff from CID, Operational Planning, Air Support, the Hi-Tech Crime Unit and our Community Engagement Team to name but a few. It is right that I acknowledge their fine efforts also,” he said

A Wikinews reporter visited the nearest main road, Henleaze Road in the hours after the arrest, to report on the incident. It was noted that there was a significantly higher number of police vehicles in the area, compared to the usual figure.

The Wikinews reporter also noted that there were several reporters gathered around the local police station. A large police van was also noticed outside the police station.