Auto Industry Bailout Plan
By: Julie Musgrave
Updated: November 18, 2008
Right now, auto makers, laborers, and dealers are in Washington, asking for a $25 billion dollar bailout for their industry which has become one of the leading victims of the falling economy. Now many around here are wondering how this effects the local auto industry. The vote tomorrow will determine whether or not to pass that bailout, but it's a national fear that has yet to hurt us here in Lubbock.
We spoke with local car dealerships, and they say national sales down by nearly 50 percent from last year. But here -- it's only down by about 20 percent.
Now -- Annette Sykora with the National Automobile Dealers Association is trying to gain support for the bailout plan.
But she says it's a national problem for larger cities that had a higher cost of living to begin with.
Tommy Stallings with Shamrock Chevrolet says the industry learned it's lesson in a way, and he agrees with Sykora -- that local folks have nothing to worry about.
Annette Sykora: "For someone to make their decision for what they're reading on a national basis, you're really missing out on opportunity, to get a great deal on a car. Right here at home, when things are good in our part of the country."
Tommy Stallings: "With the right oversight, and with the money spent the right way, I feel like it would help the United States car manufacturers compete a little bit better with Toyota, Lexus, Honda, companies that are a little bit more solid right now than we are.
Now -- the congress will vote tomorrow, and Senator Cornyn will be there. However, he is expected to vote against the bailout, saying it's bad public policy.
