Ford Doesn’t Need Your Loonies
Along with the $17.4 Billion Dollar bailout approved (finally) by the United States, Canadian officials are going to donate approximately $4 Billion to both General Motors and Chrysler LLC. As for Ford? Apparently they don’t want any of Canada’s funny coloured money.
According to World Car Fans and The Financial Times: “Canada’s bailout has a similar term sheet as the White House’s US$17.4 billion bailout granted by US President Bush last week. Ottawa gets the option to take non-voting stock in the two automakers worth roughly 20 percent of the loans. The loans are secured by a lien on many Canadian assets. Canada is also capable of blocking any deal valued over C$125 million, and has also demanded weekly updates on liquidity and profit. The companies also have to provide continuously updated financial projections once every ten days.”
Ford is the least in need of financial help out of “the Big Three” – and have turned down offers from both the US and Canada. They are depending on loans from technology and alternative energy firms to help advance their new wave of energy conscious vehicles. Let’s hope it works out for the blue oval – because unless Mexico wants to offer up some cash North America is pretty much tapped out.
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