Government Motors Pays Back Bailout Loan....Not Quite

This is an e-mail I received just the other day from GM.

Dear.....

We value and appreciate your loyalty more than anything. We are proud to announce we have repaid our government loan – in full, with interest, five years ahead of the original schedule. We realize we still have more to do. Our goal is to exceed every expectation you've set for us. We're designing, building and selling the best cars and trucks in the world. Like the award-winning Chevy Malibu, the all-new Buick LaCrosse, the versatile Cadillac CTS Sport Wagon and the innovative GMC Terrain, just to name a few. As we move into the future, we're thankful to have loyal owners like you. We invite you to learn more about the new GM and join our community, by visiting gm.com. And once again, thank you for your support.


Susan E. Docherty
Vice President, U.S. Marketing

Wow, that is great! They have paid back all of that $49 billion in what, just over a year. Well, when I read that I called Bravo Sierra. I look around and just could not find how they had supposedly accomplished this feat. I mean, have they really been selling that many cars? Well, looking further it seems that they paid back government money with government money and is applying for more government money with less interest....only in America! Take a look at this article and see how they still are Government Motors.

The U.S. taxpayers own 60.8% equity in GM and Canada owns another 11.7%. Now if we could only get Mexico to pony up the remaining 27.5% we could call the company North America Governmet Motors. We could have the vehicles built in Mexico, so they would have cheap labor, oh wait, we can still have them built in Detroit and ship the illegals there to build them. There is plenty of homes available in Detroit with some going for a dollar. This would help Detroit to start over again and help them out of the financial mess they are in. Oh, but if the illegals took the jobs, where would all the Americans out of work there get jobs?

Sorry for the rant, but this crap has got to make you mad. The CEO of GM is touting the payback and nobody in the MSM is even researching how they got the money to pay back the loan. The MSM just follows the White House crap of lies and does not do any investigating. And they call themselves journalists? People, we need to start questioning things like this and also letting others know that things like this are just a bunch of lies uh, I mean mistruths. They keep on spewing this crap and the sheeple buy it because they have no idea how to find the truth. They still think these journalists are reporting the truth but we need to tell them otherwise. Get out and spread the truth while we still can. If we don't start telling the truth we will not be able to take back America.

ClimateGate!

There is a move to push a Cap and Trade Bill (or as I like to say Crap and Tax) by our government officials. Watch this and maybe get this guys book Climategate by ordering it thru Amazon. I know I plan on reading it so I can talk about the global warming scam with some facts. This Crap and Tax bill will be moving significant wealth from wealthy nations to those nations less fortunate. Enjoy this video...and order the book!

Harrisburg, PA. To Consider Bankruptcy

The city of Harrisburg is in trouble. According to this report they have missed $6 million in debt payments since Jan. 1. The city controller told a special committee that they should consider filing Chapter 9.

I blogged about things like this happening a few days ago, except with states instead of cities. What will happen to the credit of Harrisburg? Oh, it was already lowered to the B2 level,  by Moody's, which is five levels below investment grade. How many people are going to want to invest in this city? Not many if I had to guess.

"Susan Brown-Wilson, the head of the council’s Budget and Finance Committee, said she supports a bankruptcy filing because the state oversight process is too time-consuming, and would require a tax increase that Harrisburg can’t afford. Bankruptcy might be the best option,” she said. “This city is so indebted there’s really no way out."

Well, here is the options:
1. declare bankruptcy or
2. raise taxes to the people that can't afford things now.

Either way, there will likely be a decrease in city services to help lower city costs. That will mean less firefighters, less cops, less garbage collections, closures of parks, less lights on for baseball games for the city league, closures of city offices to save money on utilities, less people wanting to relocate, less new businesses, increased taxes on EVERYTHING, increased water and sewer bills, more crime, higher response times of emergency services and government officials still keeping their inflated salaries.

I predict Harrisburg won't be the only city or state that will face this predictiment. Mark my words, we are not "climbing out of the recession" as the toutTV is reporting. Hold on, it will get rougher.

So What Will It Be Like If Our Economy Really Tanks?

Have you given much thought to what it would be like if we had a real economic depression. Not one that is being covered over by the Fed with monopoly money, but when the Fed has run out of money and no one wants our IOU's. Look at what is happening in Detroit. There is 40-50% real unemployment, homes selling for a dollar, 33,500 homes for sale, 91,000 residential lots for sale and a city government that has a deficit of $300 milion. The city also wants to bulldoze 25% of the city!

What about California?  Unchecked drug dealing, high percentage of illegal immigrants, tidal wave of unemployment, budget deficts, crime, and forclosures.

Even the big apple is being hit with a violent crime wave. Murders up 22%, shootings up 14%, and packs of gun weilding youths causing terror even on Easter day. "Yet the return to New York of atrocity-filled front pages has helped to fuel speculation that a golden age of crime-fighting may be coming to an end as long-term unemployment and economic pressures turn more people to crime."

We all need to have a plan for when, I mean if...no I mean when, the economy collapses. If you think the Fed can continue to prop up the stock market, the banks, housing, auto and appliance industry, main street USA and continue to pay the millions of people unemployed you are delusional. Remember they are also taking over health care which won't be cheap. You need to prepare for your family or you will be refugee's. What will you eat and drink? Do you have food stored and a way to prepare it? Do you think water will still come out of your faucet? Maybe it will, but will the city have the chemicals to make it safe to drink. Do you have a water filter like a Katadyn and know how to use it? How will you protect what you have? There will be people that will want your food, your property, your clothes, your electronics, plasma TV, your vehicles (or more likely the fuel in it) and I hate to say it, but they may want your wife and children. There will be roving hoards with guns and ammo just like there is currently in New York city. Do you have weapons (I like Glock pistols) and have practiced with them? Are they reliable? Do you have ammo for them? If you don't, how will you protect your family and whatever food and water you have stored? Don't plan on living a life you are accustomed to. Power may be limited if available at all. This means you won't have lights, radios, TV's, or Heat/Airconditioning. Take a moment right now and look around you. What do you see that won't be there if you don't have electricity? Can you live right now without power for a week? How about for a year? Don't think that could happen, what do you know about EMP's? Here is a great book about life after an EMP. My wife read it and said it opened her eyes.

Now is the time to think about survival for your family. It can be an overwhelming thought, but if you start a little at a time, it can be done. Well, I'm not sure it is ever done, but whatever you do now, will help you if TEOTWAWKI does happen. I am adding a link to my blog for survivalblog. Look in theirIt is rich with information and will be a great place to start learning. I will be starting to post more about survival prepardness to try and help you as well. I will post about food storage, water treatments, weapons and gear needed to help you and your family survive.

I'm not trying to scare anyone, but if this means that you are motivated to get somethings done that will keep you alive, so be it. I will continue to post about the economy, housing, banking, etc.

Keep you eyes open.

Revolution For The U.S.?

Take 12 minutes out of your day and watch this video. It is from Gereld Celente who is the CEO of Trends Research Institute. He is convinced that we are heading into "The Greatest Depression". He paints a picture which is alarming and sobering at the same time. Now, some mught think he is just another "doomer", but he has been spot on several times in the past about the ecomomy. Considering how many times in the past he has been correct, what he has to say here is frightening. Pay attention to what he is saying. I would advise you keep your eyes open and start reading about what is heading our way and start preparing for it.

April 23, 2010 Bank Closures

Well it is Friday and 7 more banks were closed.

1. Amcore Bank, National Association, Rockford, Illinois, was closed today by the Office of the Comptroller of the Currency, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $220.3 million.

2. Broadway Bank, Chicago, Illinois, was closed today by the Illinois Department of Financial and Professional Regulation — Division of Banking, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $394.3 million.

3. Citizens Bank&Trust Company of Chicago, Chicago, Illinois, was closed today by the Illinois Department of Financial and Professional Regulation — Division of Banking, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $20.9 million.

4. New Century Bank, Chicago, Illinois, was closed today by the Illinois Department of Financial and Professional Regulation — Division of Banking, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. he FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $125.3 million.

5. Lincoln Park Savings Bank, Chicago, Illinois, was closed today by the Illinois Department of Financial and Professional Regulation – Division of Banking, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $48.4 million.

6. Peotone Bank and Trust Company, Peotone, Illinois, was closed today by the Illinois Department of Financial and Professional Regulation – Division of Banking, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $31.7 million.

7. Wheatland Bank, Naperville, Illinois, was closed today by the Illinois Department of Financial and Professional Regulation – Division of Banking, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $133.0 million.

Interesting is that all banks closed today were in Illinois. There have been a total of 57 banks closed in America this year and 10 of these have been in Illinois. How's that for you...17.5% have been in this state. Maybe along with corrupt politicians there are corrupt bankers.

The year-to-date loss to the FDIC or lets say "WE THE PEOPLE" is $9.190 billion and still counting.

Greece Debt Problems Worsening

I don't know if you have been following the Greece Debt Issues  that have been occuring, but if you haven't you probably should as it may be where America is heading. There have been a lot of similarities between both countries.
Eurostat, a statistics company, raised Greece's budget deficit by 0.7% to 13.6% for 2009 due to "a reservation on the quality of the data reported by Greece." Eurostat also said the their data could be revised further.

"Markets were shocked last fall when the government announced that the previous conservative Greek government had issued misleading financial data for years."

I'm glad that our government would not submit false or misleading data. Oh wait, they have.

"News of the revised figures sent Greece's borrowing costs shooting up to new record highs."
Hold on folks if this happens here in America.
"It said the new figures showed the scale of Greece's financial troubles, which it blamed on mishandling by the previous, conservative government."
Where have I heard that? It seems everyone wants to put the blame on some one else...can you say lack of personal responsibility?

"Greece is struggling to cope with a debt of euro300 billion ($406 billion) and needs to borrow about euro54 billion this year alone."
We have a Federal deficit of $1.4 trillion just this year.

Look what happens when things like this happen...

"Civil servants staged a 24-hour strike Thursday against austerity measures and expected job cuts by Greece's crisis-plagued government, and the EU's statistics agency said the country's budget was even worse than previously thought."

"The strike disrupted public services, shut down schools and left state hospitals working with emergency staff. Protesters from a Communist-backed trade union blockaded Athens' main port of Piraeus, disrupting ferry services."

Be ready folks and watch what is happening in Greece as you may be seeing a preview into America's future, but ours will be significantly worse.

33 States Out Of Money For Jobless Benefits

Things don't look good!

"A total of 33 states and the Virgin Islands have depleted their funds and borrowed more than $38.7 billion"...

Thirty-three states have been relying on the federal government to pay the jobless benefits. But, the CONgress just extended benefits for the unemployed and the President signed it which extended it, through Memorial Day 2010. Now this is an additional $18 billion which we don't have, but I guess we can print some more. How many times will CONgress extend these benefits? As sad as it may seem, we need to stop these payments and let people start working.

"The nation's financing system for jobless benefits is under unprecedented stress," said Andrew Stettner, deputy director of the New York-based advocacy group for the unemployed.

I would say this is an understatement. The article mentions that at the beginning of the recession only 19 states had the recommended level of funding.

"The current crisis should compel policy makers to forge a new path to forward financing of the unemployment insurance program," Stettner said. "As the broke funds of 33 states makes clear, unemployment insurance reserves need to be stocked up before recessions hit so that states are prepared."

Unemployment insurance is paid by employers. If the employers costs increase, these costs will be passed on to the customers through higher prices. Higher prices means inflation. Get prepared.

Friday Bank Closures - April 16, 2010

1. The Federal Deposit Insurance Corporation (FDIC) approved the payout of the insured deposits of Lakeside Community Bank, Sterling Heights, Michigan. The FDIC estimates the cost of the failure to its Deposit Insurance Fund to be approximately $11.2 million.

2. TD Bank, National Association (N.A.), Wilmington, Delaware, acquired the banking operations, including all the deposits, of three Florida-based institutions. To protect depositors, the Federal Deposit Insurance Corporation (FDIC) entered into a purchase and assumption agreement with TD Bank, N.A.

The institutions were closed by their respective chartering authority, and the FDIC was named receiver for each institution. AmericanFirst Bank, Clermont, was closed by the Florida Office of Financial Regulation; First Federal Bank of North Florida, Palatka, was closed by the Office of Thrift Supervision; and Riverside National Bank of Florida, Fort Pierce, was closed by the Office of the Comptroller of the Currency. The three failed institutions were not affiliated with one another. The FDIC and TD Bank, N.A. entered into a loss-share transaction on $2.20 billion of the failed institutions' assets. Initially, TD Bank, N.A. and the FDIC will share in the losses on assets on a 50% - 50% basis. (So to me it looks like $1.10 billion loss for the FDIC).

3. Butler Bank, Lowell, Massachusetts, was closed today by the Massachusetts Division of Banks, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with People's United Bank, Bridgeport, Connecticut, to assume all of the deposits of Butler Bank. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $22.9 million.

4. Innovative Bank, Oakland, California, was closed today by the California Department of Financial Institutions, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Center Bank, Los Angeles, California, to assume all of the deposits of Innovative Bank. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $37.8 million.

5. Tamalpais Bank, San Rafael, California, was closed today by the California Department of Financial Institutions, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $81.1 million.

6. City Bank, Lynnwood, Washington, was closed today by the Washington Department of Financial Institutions, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $323.4 million.

So another six financial institutions bite the dust this week. Did you here about it on the news? Of course not. Move along sheeple, nothing here to see...other than the total of these bank closings now toatal $8.216 billion to "We The People".

The total number of bank closings thus far is 50 for the year.

Double Dip In Housing Market Predicted

Merideth Whitney predicts a double dip in housing market.

Maybe she has been reading or hearing things like this and that has got her concerned.



According to the WSJ video clip, major banks masked their risk levels during the most recent five quarters by lowering debt levels just before announcing quarterly earnings, according to data from the New York Federal Reserve Bank.