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pardpardeftab720ri0sl276slmult1sa200 f0fs22 cf0 Stephanopoulos:
You’92re heading to Michigan, your home state, for a debate tomorrow night and a lot of interest
there of course in the whole issue of the auto industry. We’92ve seen a big comeback
in the auto industry over the last two years since the bailout of the auto industry, the
restructuring of the auto industry which you criticized. You said back in 2008, ’93If
you write a check they are going to go out of business.’94 Weren’92t you wrong about
that? Romney: Actually read the whole article, George.
I said don’92t write a check to these guys- Stephanopoulos: I did, I read the entire article.
Romney: Good and you saw in there that I said they needed to go through a managed bankruptcy,
right? Stephanopoulos: Well, that’92s exactly what
happened but the auto industry also says they needed federal funds.
Romney: No no that’92s what I said in the article, George. What I said is- this is before
by the way even President Obama was in office. I wrote an article and said these companies–don’92t
write them a check. They’92ve come to Washington asking for money. Don’92t write them a check.
Have them go through managed bankruptcy and then after that process if they need help,
if they need help for instance guaranteeing the warranties of people who bought their
cars then the government can step in and provide that help but don’92t just write a check
off the bat. Stephanopoulos: but isn’92t that-
Romney: so I laid out a plan for managed bankruptcy, the head of the AFL-CIO said Oh, this is a
terrible idea the companies can’92t be taken bankrupt. It turned out that I was right,
they finally followed that advice and the industry is back at its feet.
Stephanopoulos: so if you’92re saying you were right, are you saying then that what
president Obama did was right: forced a managed bankruptcy along with federal funds?
Romney: what president Obama and what President Bush did was to write a check first. Billions
and billions of dollars was written to bailout the industry and then they realized that that
was not the answer. I was frankly right. They had to go through managed bankruptcy. They
finally went through bankruptcy. That was what was necessary in order to get rid of
the excess costs and for them to be able to get on their feet. The fact that the government
wrote those checks wasted money. Stephanopoulos: that was a decision from President
Bush but President Obama and his team required this restructuring of the auto industry in
order to get further funds. That’92s just a fact.
Romney: and President Obama and President Bush, by the way my criticism was not labeled,
was not directed just at President Obama. It was also President Bush. I said don’92t
write checks. They need to go through bankruptcy and that’92s finally what happened. And by
the way the fact that they went through bankruptcy and president Obama had them go through bankruptcy
and get restructured is exactly what I said had to happen in that op-ed and the support
that came afterwards was appropriate. But let me tell you if they needed help for guaranteeing
warranties that would’92ve been appropriate. But what was not appropriate was those first
checks and then giving the automobile companies to the UAW and that is what happened under
President Obama. Stephanopoulos: just one more question. The
funds that were provided as a condition, that were conditioned on restructuring, you agree
with those funds that were provided to the auto industry?
Romney: George, I disagreed with the first money that was given, the bailout money. Number
two I said they needed to go through a managed bankruptcy not one guided by the government
but one that was led by the companies themselves. And then afterwards if they would’92ve needed
additional support from the government, guarantees for instance for warrantees, that’92s something
I could’92ve supported. But the initial money was wrong and giving the companies to the
UAW, that was wrong. }