'house'에 해당되는 글 10건

  1. 2008.12.12 Detroit Not Out Of The Woods by CEOinIRVINE
  2. 2008.12.11 U.S. House approves $14-bln auto industry bailout by CEOinIRVINE
  3. 2008.12.10 Man who lost family when jet hit house: I don't blame pilot by CEOinIRVINE
  4. 2008.12.10 Child missing, 3 dead after jet hits house in San Diego by CEOinIRVINE
  5. 2008.12.10 GM exec: Automakers likely will be back for more by CEOinIRVINE
  6. 2008.12.10 House Hearing Begins on Fannie, Freddie Downfall by CEOinIRVINE 1
  7. 2008.10.30 [House] Season 5 Episode 5 Lucky Thirteen by CEOinIRVINE
  8. 2008.10.07 IBM's House In The Clouds by CEOinIRVINE
  9. 2008.09.30 House Leaders Vow to Seek Compromise by CEOinIRVINE
  10. 2008.09.30 House Narrowly Defeats Bailout Legislation by CEOinIRVINE

The House may have passed a rescue package for the auto industry, but Senate Republicans could stop it cold.

By a vote of 237-170 Wednesday night, the House of Representatives passed a $14 billion bailout package for General Motors and Chrysler.

That was the easy part. Democrats who supported the bill hold a clear majority in the House. The real test is the Senate, where it's far from certain that there are enough votes to pass the measure because of broad opposition from Republicans.

The Senate could take up the measure as early as Thursday. But unless Democrats who support the bill can rally 60 votes, they won't be able to overcome a potential filibuster, which could derail the bailout effort.

And it's looking increasingly like it won't be possible to reach that magic number. Earlier Wednesday, Sens. Richard Shelby, R-Ala., John Ensign, R-Nev., Tom Coburn, R-Okla., David Vitter, R-La., and Jim DeMint, R-S.C., held a press conference to voice opposition to the bill. Shelby, who believes it’s a waste of taxpayer money--particularly after controversy surrounding the effectiveness of the financial services bailout two months ago--calls the Detroit rescue a "travesty."

Sen. Bob Corker, R-Tenn., has opposed the bailout bill on the grounds that it doesn't propose strict enough conditions on the automakers. He wants to see the companies reduce their debt load and further concessions by the United Auto Workers union.

Sen. Charles Grassley, R-Iowa, doesn't like it because he thinks it doesn't force Cerberus Capital Management, Chrysler's parent, to help the company. In addition, Grassley, the Senate's top Republican tax writer, says the bill would "prop up" a complex tax shelter related to banks' leasing facilities to transit systems and public utilities. Grassley and his Democratic colleague on the Senate Finance Committee, Sen. Max Baucus, D-Mont., shut down the tax shelter in 2004.

In other words, there's still a long way to go legislatively before a bailout for Detroit makes it to President Bush's desk for his signature.



Posted by CEOinIRVINE
l

WASHINGTON, Dec 10 (Reuters) - The U.S. House of Representatives approved a bill on Wednesday to lend up to $14 billion to the three struggling U.S. automakers, General Motors Corp, Ford Motor Co and Chrysler LLC.

Introduced by Democrats, the bill is nearly identical to one pending in the Senate, where Republican opposition was making its chances for passage look uncertain.

The bailout proposal would extend taxpayer-funded loans or lines of credit to the Detroit Three and create a federal government post of 'car czar' to oversee the industry.

(Reporting by Kevin Drawbaugh; Editing by Tim Dobbyn) Keywords: AUTOS/BAILOUT VOTE

'Business' 카테고리의 다른 글

Japan's Nikkei average slipped 1.2 percent  (0) 2008.12.11
SKorean central bank slashes key interest rate  (0) 2008.12.11
Who Owns Christmas?  (0) 2008.12.11
Advice For Yahoo!s, From Yahoo!s  (0) 2008.12.11
Facebook's Developer Hug  (0) 2008.12.11
Posted by CEOinIRVINE
l

SAN DIEGO, California (CNN) -- A Korean immigrant who lost his wife, two children and mother-in-law when a Marine Corps jet slammed into the family's house said Tuesday he did not blame the pilot, who ejected and survived.

Dong Yun Yoon addresses reporters Tuesday, a day after a jet crashed into his home and killed four of his relatives.

Dong Yun Yoon addresses reporters Tuesday, a day after a jet crashed into his home and killed four of his relatives.

"Please pray for him not to suffer from this accident," a distraught Dong Yun Yoon told reporters gathered near the site of Monday's crash of an F/A-18D jet in San Diego's University City community.

"He is one of our treasures for the country," Yoon said in accented English punctuated by long pauses while he tried to maintain his composure.

"I don't blame him. I don't have any hard feelings. I know he did everything he could," said Yoon, flanked by members of San Diego's Korean community, relatives and members from the family's church. Video Watch Yoon discuss relatives' death »

Authorities said four people died when the jet crashed into the Yoon family's house while the pilot was trying to reach nearby Marine Corps Air Station Miramar. Another, unoccupied house also was destroyed.

Yoon named the victims as his infant daughter Rachel, who was born less than two months ago; his 15-month-old daughter Grace; his wife, Young Mi Yoon, 36; and her 60-year-old mother, Suk Im Kim, who he said had come to the United States from Korea recently to help take care of the children.

Fighting back tears, he said of his daughters: "I cannot believe that they are not here right now."

"I know there are many people who have experienced more terrible things," Yoon said. "But, please, tell me how to do it. I don't know what to do."

Marine Corps authorities said the pilot, whose name was not released, was hospitalized after he parachuted from the jet, and an investigation into the cause of the crash has been launched.

The jet had just performed landing training on a Navy aircraft carrier before the pilot reported having trouble, according to the Marine Corps. Authorities described the jet as disabled.

Three bodies -- those of two adults and an infant -- were recovered hours after the crash on Monday. The fourth body -- that of a child -- was recovered Tuesday as firefighters sifted through the rubble of the Yoon house.

Authorities said they did not expect to find any other victims of the crash.

Yoon's minister, Daniel Shin, told reporters the Yoon family had moved into the house a little more than a month ago. He said Yoon came to the United States in 1989 and had since become a naturalized citizen. Yoon works as manager of "a variety store -- a store where they sell a variety of things," Shin said.

Yoon's wife came to the United States about four years ago, Shin said.

Yoon spoke softly when he talked about his wife.

"It was God's blessing that I met her about four years ago. She was a lovely wife and mother," he said.

His voice fading, he added: "She loves me and babies. I just miss her so much."

The Marine Corps said Tuesday it would take "a minimum of five to seven working days" to clean up the crash site.

San Diego resident Ian Lerner said he was heading to lunch at a shopping center about a half-mile from the neighborhood of about 20 homes when he saw the jet flying low.

"It was, oh, gosh, maybe a couple of hundred feet off the ground. And it was quiet; I think the engine was off," Lerner said.iReport.com: See Lerner's photos

"Then all of a sudden, we saw the canopy of the jet explode and go up, and then we saw the pilot blast out of the plane and the parachute open," Lerner said. Video Watch a witness describe the pilot's main concern »

Another witness said the jet was flying at a low altitude and "just spiraled, right out of [the movie] 'Top Gun.' "

A photograph taken at the crash site showed the pilot, after ejection, sitting on the front lawn, making a call on his cell phone before he was taken to a hospital. Video Watch burning debris near crash site »

The pilot was the only occupant of the two-seat aircraft, according to the Marine Corps.

The Union-Tribune spoke with Steve Diamond, a retired naval aviator who said he found the pilot in a tree behind a house. He told the paper he helped the man, who Diamond said was a lieutenant in his 20s, down from the tree. See satellite photo showing crash site, airfield »

The pilot told him that after he lost power in one engine, it was decided he would try to get the jet to Miramar on the single working engine, Diamond told the paper.

The pilot was in communication with military air traffic controllers before the jet crashed about two miles from the airfield, the Federal Aviation Administration said.

According to the Los Angeles Times, the pilot ejected moments before the crash and landed in a tree. Jason Widmer said he talked to the pilot, who said he had tried to steer the jet from the homes and into a brushy canyon.

"He was pretty shook up and pretty concerned if he had killed anyone," Widmer told San Diego 6. "He had seen his bird go into a house."

A retired general, a pilot who has flown for 40 years and more than 270 missions in Vietnam, said the decision to eject is up to the pilot. F/A-18D planes are very dependable, but any aircraft is subject to error.

That model has two engines, and it can operate with one engine. But if one engine malfunctions, it's possible that a blade can break off and fly into the other engine, causing it to malfunction, too. If both engines are inoperable and the plane descends below 10,000 feet, it's likely the pilot will soon lose control.

When the pilot pulls a ring-like lever, a series of automatic actions is set off: The pilot's harness comes loose, and he is pushed through a canopy, which is rigged to facilitate him breaking through it without causing injury. A pilot can opt to manually activate his parachute, but if he doesn't, the parachute will open on a timer.

The plane would crash randomly once the pilot is no longer in control.Photo See photos of fiery crash site »

Inside a house in the neighborhood, Robert Johnson sat in his living room with his daughter, Heather Certain, and her 2-year-old son, Nicholas, according to the Union-Tribune. They heard the explosion and then saw a giant fireball in the picture window facing their front yard, the newspaper reported. They ran out of the house. Video Watch aerial footage of crash site »

"The house shook like an earthquake," Johnson said. "I saw the flames right there in front of my house."



Posted by CEOinIRVINE
l

SAN DIEGO, California (CNN) -- A grandmother, mother and young child died when a military fighter jet crashed into a house in San Diego, California, on Monday, igniting a huge fireball, authorities said.

The pilot, whose name has not been released, on his cell phone after the crash.

The pilot, whose name has not been released, on his cell phone after the crash.

Another child is missing, officials said. A search ended at nightfall Monday but will continue Tuesday morning, a representative for the medical examiner said.

The father is a businessman who was at work at the time of the crash and was not reached for comment, according to the San Diego Union-Tribune.

The F/A-18D plane, which authorities described as disabled, was trying to land at Marine Corps Air Station Miramar.

The jet had just performed landing training on a Navy aircraft carrier before the pilot reported having trouble, according to the Marine Corps. See satellite photo showing crash site, airfield »

"It was, oh gosh, maybe a couple of hundred feet off the ground. And it was quiet -- I think the engine was off," said San Diego resident Ian Lerner, who was heading to lunch at a shopping center about a half-mile from the neighborhood of about 20 homes when he saw the jet flying low. iReport.com: See Lerner's photos

"Then all of a sudden, we saw the canopy of the jet explode and go up, and then we saw the pilot blast out of the plane and the parachute open," Lerner said.

Another witness said the jet was flying at a low altitude, and "just spiraled, right out of [the movie] 'Top Gun.'" Video Watch witnesses describe the scene »

The house was destroyed. A photograph taken at the scene showed the pilot, who ejected safely, sitting on the front lawn, making a call on his cell phone. He was taken to the hospital, the Marine Corps said in a written statement Monday. Video Watch burning debris near crash site »

The pilot, whose name was not released, was the only occupant of the two-seat aircraft, according to the Marine Corps.

The Union-Tribune spoke with Steve Diamond, a retired naval aviator, who said he found the pilot in a tree behind a house. He told the paper he helped the man, who Diamond said was a lieutenant in his 20s, down from the tree.

The pilot told him that after he lost power in one engine, it was decided he would try to get the jet to Miramar on the single working engine, Diamond told the paper.

The pilot was in communication with military air traffic controllers before the jet crashed, and the crash site is about two miles from the airfield, the Federal Aviation Administration said.

According to the Los Angeles Times, the pilot ejected moments before the crash and landed without injury in a tree about two miles from Miramar. Jason Widmer said he talked to the pilot, who said he had tried to steer the jet from the homes and into a brushy canyon.

He was pretty shook up and pretty concerned if he had killed anyone," Widmer told San Diego 6. "He had seen his bird go into a house."

A retired general, a pilot who has flown for 40 years and more than 270 missions in Vietnam, said the decision to eject is up to the pilot. F/A-18D planes are very dependable, but any aircraft is given to error.

That model has two engines, and it can operate with one engine fine. But if one engine malfunctions, it's possible that a blade can break off and fly into the other engine, causing it to malfunction, too. If both engines are inoperable, and the plane descends below 10,000 feet, it's likely the pilot will soon lose control.

When the pilot pulls a ring-like lever between his legs, a series of automatic actions is set off: The pilot's harness comes loose, and he is pushed through a canopy, which is rigged to facilitate him breaking through it without causing injury. A pilot can opt to manually activate his parachute, but if he doesn't, the parachute will open on a timer.

The plane would crash randomly once the pilot is no longer in control.

Burning debris scorched two additional homes, and a piece of the jet struck another home. "This could have wiped out half a dozen homes, depending on how it landed," said Maurice Luque, a spokesman for the San Diego Fire-Rescue Department. Photo See photos of fiery crash site »

Inside one of those houses, Robert Johnson sat in his living room with his daughter, Heather Certain, and her 2-year-old son, Nicholas, according to the Union-Tribune. They heard the explosion, then saw a giant fireball in the picture window facing their front yard, the newspaper reported. They ran out of the house. Video Watch aerial footage of crash site »

"The house shook like an earthquake," Johnson said. "I saw the flames right there in front of my house."

iReporter Chris Morrow of San Diego said she went to the crash site Monday and saw "two houses that looked like they'd blown up."

The Marine Corps said it is investigating what went wrong with the plane. The military has jurisdiction over the crash site. iReport.com: Smoke rises from fiery crash



Posted by CEOinIRVINE
l

(CNN) -- There's no indication when -- or if -- the White House and congressional leaders will reach agreement on the Democrats' proposal to give troubled U.S. automakers a financial lifeline.

General Motors exec Bob Lutz says he sees the $15 billion proposal for automakers as a "bridge loan."

General Motors exec Bob Lutz says he sees the $15 billion proposal for automakers as a "bridge loan."

General Motors Corp. and Chrysler could get $15 billion in federal loans as soon as December 15, according to a working Democratic draft of proposed legislation and a senior Democratic congressional aide.

Meanwhile, one key GM official already is talking about the need for more help from the government -- even before this package's approval.

In an interview Tuesday on CNN's "American Morning," Bob Lutz, GM vice chairman of global product development, told anchor John Roberts that he expects the industry to go back to Washington next year for more money.

John Roberts: A lot of taxpayers are asking if you get this $15 billion collectively, what will you do to make sure your company won't fail?

Bob Lutz: Well, first of all, GM will only get a portion of that money and ... this is simply a bridge loan which will get us into the next administration, where we hope we can do something more fundamental. Because the main problem is the lack of liquidity and the lack of revenue flowing in as we're facing absolutely the lowest, lowest car market in history, and it's not just the domestics, the Japanese are all down 30 percent and 40 percent. Their inventories are piling up. You know, this isn't a question of Detroit is in trouble; the whole automobile industry is going to be in trouble

Roberts: You don't see Toyota and Honda coming to the government for a handout. But based on what you said there -- that this is just the beginning -- you're going to need more money next year?

Lutz: I think that's a reasonable assumption.

Roberts: How much more?

Lutz: At this point, you know, that's going to have to be discussed with Congress. We'll have to see. But this is definitely a bridge loan that will solve the immediate liquidity problem

Roberts: When you come to Congress next year and say, OK, you gave us $15 billion in December, now we need X amount of money, how difficult a sales job will that be?

Lutz: You know, I don't think anybody in Congress or the president-elect assumes that this is all the money that is going to be required to bridge this liquidity crisis that the American automobile industry is facing, and, again, it all depends on how fast we have an economic recovery. Again, let me restate this. At 10.8 or 10.5 million total market, we do not have a viable automobile industry in this country for anybody.
iReport.com: How is the automaker crisis affecting you? Should there be a bailout?

Roberts: Yesterday, you took out a full page ad in the Automotive News Journal; it was a big mea culpa. I guess on GM'S part. You said in part we acknowledge we disappointed you. We violated your trust by letting our quality fall and our designs become lackluster. You also laid out a GM commitment to the American people. First thing, you said specifically we're committed to producing automobiles you want to buy and are excited to own. There are many people who might think that's just a fundamental tenet of free enterprise, and why should that be revolutionary?

Lutz: It isn't. I think people were expecting this sort of message. What we're trying to do with an ad like that is live down this legacy of the '80s. Everybody agrees that American cars of the '80s were not very good and were not competitive with the Japanese. But that was a long time ago.

We've now equaled the Japanese in productivity and quality, and speaking for General Motors we got Car of the Year with the Saturn Aura, Car of the Year for Chevy Malibu, Truck of the Year with the Silverado, Green car of the Year with the Silverado hybrid, and on and and on. Car of the Year with the Cadillac CTS.

Roberts: One more question, Bob, certainly, as a condition of this bridge loan, the government is going to appoint a car czar to oversee what you do with it. They will talk about what kind of models you should build, fuel efficiency you should get. There will be a government approval of any vehicles you make. Who would you like to see as the car czar?

Lutz: Wait a minute. We don't know if it will be a czar or overseer. I doubt whether this person would dictate the product policy.

Roberts: Certainly an idea they are talking about. Who would you be comfortable with as car czar?

Lutz: I wouldn't even -- other than myself? Unfortunately I'm not available because I'm still gainfully employed.

Roberts: Some people [are] floating the idea maybe [that former Massachusetts Gov.] Mitt Romney would be a good car czar. He comes down hard on you guys. His father [George Romney] ran American Motors for a time.

Lutz: Well, I hardly think that the automobile business is a genetic trait, but he would probably be satisfactory as would many other people.

Posted by CEOinIRVINE
l

Internal Freddie Mac documents show that senior executives at the company were warned years ago that they were offering mortgages that could pose dangers to the firm, hurt borrowers and generate more risky loans throughout the industry.

At Fannie Mae, top executives were told it was necessary to develop "underground" efforts to buy subprime mortgages because of competitive pressures, although there were growing risks and borrowers often didn't understand the terms of the loans, documents show.

The House Committee on Oversight and Government Reformwhich has the documents, is holding a hearing now underway to discuss Fannie and Freddie's downfall. The companies were seized by the government three months ago after nearly collapsing in the wake of billions of dollars of losses on mortgages.

In a memo to former Freddie chief executive Richard Syron and other top executives, former Freddie chief enterprise risk officer David Andrukonis wrote that the company was buying mortgages that appear "to target borrowers who would have trouble qualifying for a mortgage if their financial position were adequately disclosed."


Internal Freddie Mac documents show that senior executives at the company were warned years ago that they were offering mortgages that could pose dangers to the firm, hurt borrowers and generate more risky loans throughout the industry.

At Fannie Mae, top executives were told it was necessary to develop "underground" efforts to buy subprime mortgages because of competitive pressures, although there were growing risks and borrowers often didn't understand the terms of the loans, documents show.

The House Committee on Oversight and Government Reformwhich has the documents, is holding a hearing now underway to discuss Fannie and Freddie's downfall. The companies were seized by the government three months ago after nearly collapsing in the wake of billions of dollars of losses on mortgages.

In a memo to former Freddie chief executive Richard Syron and other top executives, former Freddie chief enterprise risk officer David Andrukonis wrote that the company was buying mortgages that appear "to target borrowers who would have trouble qualifying for a mortgage if their financial position were adequately disclosed."


Posted by CEOinIRVINE
l

'TVs' 카테고리의 다른 글

'Desperate' changes pay off  (0) 2008.11.15
Hero 3 Ep 8  (0) 2008.11.13
Lipstick jungle Seaon2 Episode7  (0) 2008.11.10
Funny  (0) 2008.11.10
Monk Season 5, EP 5.  (0) 2008.11.10
Posted by CEOinIRVINE
l

IBM's House In The Clouds

Business 2008. 10. 7. 03:24
Big Blue, like enterprise information technology as a whole, is slowly going the way of Google.

On Monday, IBM (nyse: IBM - news - people ) announced a free beta version of what it calls "Blue House," a Web-based software suite that expands the company's programs for scheduling meetings and projects, storing and sharing documents, instant messaging and running Powerpoint-like presentations--all via the Web, with applications hosted on IBM's servers.

Blue House is meant for more than internal collaboration: IBM also aims to let users collaborate over the Web with other organizations, creating what it describes as a social network of business users.

Blue House will also try to reassure businesses of the security of their information by offering companies precise controls over which participants they let at the data. IBM says it will let its customers audit the service's data storage to make sure no information inadvertently slips through those safeguards to the wrong third parties. Because the services will eventually be based on paid subscriptions--not advertising, as in the case of other Web applications like Google (nasdaq: GOOG - news - people )'s--IBM is also telling users that it won't sift through customers' data to learn about them.

"We're serving the needs of business users first," says Sean Poulley, IBM's vice president of Web collaboration services. "It's their identity and their data. That means we have a very different starting point for how we think about the service."

The programs, an addition to the company's "Lotus" group of applications, also represent one of IBM's most ambitious forays yet into enterprise software-as-a-service, the browser-based model of applications pioneered by companies like Salesforce.com.

IBM has long had a strong culture of exploiting the Web for its own internal business collaboration. The massive computing company likes to boast that its 350,000-plus employees use around 10,000 internal blog and 15,000 wikis, and have more representation than any company on social networking sites such as LinkedIn and Facebook. IBMers periodically hold firmwide "Jams"--online brainstorming sessions on topics ranging from data centers to translation software. And the company's last annual meeting of its top 200 researchers was focused on how to make the best possible use of the Web for business. (See "IBM's Webbie World.")

Blue House represents the fruits of that internal focus on the Web: an expansion of IBM's online offerings, not just for its employees but also for its customers. On top of that in-house development, the service ties in IBM's acquisition of Web presentation company WebDialog in August 2007.

IBM's Web focus also exploits the timely appeal that software-as-a-service has to IT managers' wallets in the midst of the current economic downturn, says IDC Research Analyst Frank Genz.

"With traditional software, you have to initially spend $100,000 or millions of dollars. With this, you pay as you go, per user," says Genz. "Especially in an economy that's getting pinched, it's a tremendous advantage over the traditional models."

IBM isn't the only stodgy enterprise IT company to turn its focus to the Web. Microsoft (nasdaq: MSFT - news - people ) has long offered business applications as part of its "Live" suite of Web programs, and Cisco (nasdaq: CSCO - news - people ) late last month launched a revamped version of its Webex online presentation software with new collaboration tools.

That means Blue House will put IBM head to head with the other IT giants looking toward the Web as the new platform for business, says IDC's Genz. "The question is whether the older players in the business world are ready to compete in this space, and IBM is saying yes. It's staking a claim as a leader of cloud collaboration," he says. "The destination for enterprise IT is the cloud. But it's going to be a long and closely run race."

Posted by CEOinIRVINE
l



 

Washington Post Staff Writer
Tuesday, September 30, 2008; Page A01

A bipartisan rebellion in the House killed a $700 billion rescue plan for the nation's financial system yesterday, sending global stock prices plunging, prompting fierce recriminations on the presidential campaign trail and dealing President Bush his worst legislative defeat.

House Democratic and Republican leaders vowed to go back into negotiations to devise compromise legislation to stabilize the credit markets, but no talks were scheduled. After U.S. financial markets closed, with the Dow Jones industrial average down a one-day record of 778 points, or 7 percent, Treasury Secretary Henry M. Paulson Jr. tried to calm frazzled traders, assuring them that work on a market intervention would resume.

"I will continue to work with congressional leaders to find a way forward to pass a comprehensive plan to stabilize our financial system and protect the American people by limiting the prospects of further deterioration in our economy," he said. "We've got much work to do, and this is much too important to simply let fail."

Rarely has a congressional vote held such high drama and produced such immediate repercussions, directly from the House floor to the trading floor. Wall Street traders huddling around television screens watched lawmakers denounce the bailout legislation, and then sent the Dow plummeting. Stocks had recovered somewhat by the time the vote was gaveled to a close, but jittery investors sent them plunging again as Republicans and Democrats took turns blaming each other for the defeat. In a few hours, $1.2 trillion in paper wealth was wiped out.

As lawmakers in Congress pointed fingers, the collapse of the world's financial markets only built steam. Brazil's main stock index lost more than 9 percent on the news of the U.S. congressional vote, and fears spread that other emerging markets could feel the credit crunch. European bourses fell earlier in the day as a result of the financial struggles of major European banks, and regulators from Belgium, the Netherlands and Luxembourg moved to rescue the European banking and insurance giant Fortis. And Citigroup stepped in to buy Wachovia's banking operations for $2.16 billion, making it the dominant bank in the Washington area.



On the 228 to 205 congressional vote, 140 Democrats voted yes and 95 voted no; 133 Republicans opposed the measure, while 65 approved.

"The Democratic side more than lived up to its side of the bargain," said House Speaker Nancy Pelosi (D-Calif.).

House Minority Whip Roy Blunt (R-Mo.) said of the Democrats: "We're going to reach back out to them. We're going to be talking to our members and see how we can come together in the next few days to reverse whatever negative impact there may be in the economy over the next few days because Congress has failed to act."

Yesterday, Bush called nearly every member of Texas's Republican delegation, GOP aides said. He won over four of the 19.

Congressional leaders and the White House faced several options, none of them palatable just weeks before a heavily contested presidential election. Democratic leaders could choose to return with a measure guaranteed to win more Democratic votes, even at the expense of Republican support. Instead of simply purchasing distressed assets from financial institutions, some Democratic economists favor injecting lenders with cash in exchange for stock, letting the institutions figure out what to do with the mortgage-backed securities and other troubled assets weighing down their books.

A Democratic bill would also include more money for homeowners in or facing foreclosure and would change the bankruptcy law to allow judges to adjust mortgage repayment terms. But Democratic leaders would have to ensure that the measure could survive a filibuster in the Senate and would be signed by the president.

Republicans were advocating slight changes to the bill that could attract a handful of new votes. Party members might be enticed by a measure that would allow businesses to write off more past losses on this year's taxes or a more robust expansion of mortgage insurance, financed by banks. Democrats could add more assistance to ailing state and local governments without raising too many GOP objections.


How the Numbers Failed the Leaders
Too many conservative Republicans rejected the idea of a taxpayer-funded intervention, and too many moderates came from swing districts where constituents were up in arms. (Dayna Smith/Post)
Posted by CEOinIRVINE
l

Video
The United States House of Representatives voted against the $700 billion emergency rescue package for beleaguered financial companies.
Washington Post Staff Writers
Monday, September 29, 2008; 2:42 PM

In a narrow vote, the House today rejected the most sweeping government intervention into the nation's financial markets since the Great Depression, refusing to grant the Treasury Department the power to purchase up to $700 billion in the troubled assets that are at the heart of the U.S. financial crisis.

The 228-205 vote amounted to a stinging rebuke to the Bush administration and Treasury Secretary Henry M. Paulson Jr., and was sure to sow massive anxiety in world markets. Just 11 days ago, Paulson urged congressional leaders to quickly approve the bailout. He warned that inaction would lead to a seizure of credit markets and a virtual halt to the lending that allows Americans to acquire mortgages and other types of loans.

As it became apparent that the measure was heading to defeat, stock markets took a steep dive. The Dow Jones industrial average fell more than 700 points but then rebounded a bit. By 2:30 p.m. the Dow was down 422 points, about 4 percent. The Standard & Poor's 500-stock index was down 5.4 percent and the Nasdaq was off 6 percent.

After a week of intense debate in both party caucuses, House members opposed the bill just five weeks before they face voters in an election that is shaping up as a referendum on the economy.

"Today's the decision day. I wish it weren't the case," said Rep. Barney Frank (D-Mass.), chairman of the House Financial Services Committee, who kicked off three hours of impassioned debate just as the opening bell sounded on Wall Street this morning.

Global markets have followed the congressional negotiations closely since Paulson's dire warnings to congressional leaders in a Sept. 18 nighttime meeting in the offices of House Speaker Nancy Pelosi (D-Calif.). As debate began today, news broke that Citigroup was purchasing another troubled bank, Wachovia, and an hour into the debate the Dow Jones industrial average had dropped by 285 points.


The bailout plan would have allowed Paulson to spend up to $700 billion to relieve faltering banks and other firms of bad assets backed by home mortgages, which are falling into foreclosure at record rates. Paulson, and his successor in the next administration, would have given the government broad latitude to purchase any assets from any firms at any price and to assemble a team of individuals and institutions to manage them. Paulson and others hoped to contain a crisis that already has caused the failure or forced the rescue of a half-dozen major Wall Street firms and unnerved markets around the world.

Before the debate started, Bush issued a final public plea urging lawmakers to support the plan, acknowledging that the vote will be "difficult" in the face of opposition from taxpayers and voters, but necessary to protect the economy. "A vote for this bill is a vote to prevent economic damage to you and your community," Bush said, attempting to undercut arguments that the proposed legislation bolsters Wall Street at taxpayers' expense. "This is a bold bill that will keep the crisis in our financial system from spreading through our economy."

Frank said no lawmaker wants to approve such a large bailout that was made necessary by the mistakes of Wall Street financiers and the mortgage industry, but inaction risked a more widespread financial meltdown. If nothing is done, he said, "the consequences will be much more severe."

Democratic and Republican leaders frantically pushed for votes this morning among their rank-and-file members to assure passage. During early morning votes on other noncontroversial matters, Pelosi hurried around the chamber floor, button-holing rank-and-file members, asking for their support.

Speaking on the floor of the House, in the final minutes before the close vote, Pelosi tried to assure her most liberal colleagues that further bailout hearings and legislation would come next year. Knowing that her party was fearful of how many Republicans would support the bill, Pelosi noted the bipartisan talks over the last week and the pledges made among both side's leaders to rally support. "I know that we will live up to our side of the bargain, I hope the Republicans will, too," she said.

On Sunday, Rep. Roy Blunt (R-Mo.), a lead negotiator and the GOP's top vote counter, hauled the nearly 30 retiring Republicans into his office to plead for what may be their final vote in office, warning that it will shape their legacy. James Nussle, the director of Bush's Office and Management and Budget and a former House member, worked the Capitol's halls and the House cloakroom in search of votes, cautioning beforehand of a very narrow vote.

 
 
Posted by CEOinIRVINE
l