Speaking at the NASCAR Sprint Cup series race at the Phoenix International Raceway on Sunday, Sen. John McCain said that he believes Chrysler Group LLC is unlikely to survive even after receiving nearly $15 billion in U.S. government loans.
“No, I don’t think we ever should have bailed out Chrysler and General Motors,” McCain said. “We should have let them go into bankruptcy, emerge and become viable corporations again.”
McCain said that throwing billions into the two companies was due to the political clout of the United Auto workers.
“It was all about the unions. The unions didn’t want to have their very generous contracts renegotiated so we put $80 billion into both General Motors and Chrysler, and anybody believes that Chrysler is going to survive, I’d like to meet them,” McCain said.
General Motors and Chrysler have both undergone bankruptcy and have come out as new companies with healthier balance sheets.
– By: Omar Rana
Source: Detroit News