Trump administration lent a troubled company $700 million. The company was worth only $70 million

[IronLionZion]

The Trump administration just lent a troubled trucking company $700 million. The company was worth only $70 million

https://www.cnn.com/2020/07/01/business/yrc-federal-loan/index.html

New York (CNN Business)The US Treasury is giving a $700 million loan to YRC Worldwide, a troubled trucking company that warned in May it was in danger of going out of business.

That's an enormous sum for a company whose stock had plunged 27% this year and was worth only $70 million as of Tuesday's close.
Long-term competitive problems had taken the company's stock down 85% over the last five years. But shares of YRC (YRCW) more than doubled in value in pre-market trading on the news of the bailout.

US taxpayers will end up owning 30% of the company's stock as part of the loan agreement.

The loan is not part of the federal CARES Act meant to help small businesses. Instead, it is meant to provide help to businesses critical to national security. Treasury's statement said the loan was justified by the fact that the company provides a majority of the trucking services moving pallet-sized shipments of freight for the US military, a segment of the industry known as "less-than-truckload" or LTL.

"Treasury's determination was based on a certification by the Secretary of Defense that YRC is critical to maintaining national security," said Treasury in its statement.

We can always count on Republicans to use our tax dollars efficiently unlike those Democrats who always waste it on fraud and abuse.

[Turbineguy]

1. $700 Million?

Do they realize how much golf that could pay for?

[IronLionZion]

2. They know they're going to lose the election

so they're doing as much damage as they can first. Drain the treasury and load up on as much debt as they can so they can complain about it when President Biden takes office. They complained nonstop during Obama's presidency when they're the ones who spent it all on 2 wars, tax cuts, bailouts, and more.

[BComplex]

11. That's what I've been worried about. The USA is now $27 TRILLION in the hole, thanks to trump

And Biden will get saddled with this. ALL OF US will get saddled with this. And that is why we need to keep up the kind of advertising that The Lincoln Project has taught us. We need to make sure republicans don't win another election for the next 30 or 40 years. And the only way to do that is to make sure Americans NEVER FORGET what the last two republican administrations have done, and how republicans in the SENATE AND SUPREME COURT made it 100% possible.

We need to keep pounding that drum until the next 3 generations know about it and have to study it in school.

REPUBLICANS HAVE ALMOST DESTROYED OUR ENTIRE COUNTRY, and have already MURDERED with COVID over 125,000 Americans. This is all on them.

[JHB]

3. So even 5 years ago, before the 85% slide...

...it was worth ~$450 million, and it is being loaned over half-again that value? That long-gone value?

So which Mar-a-Lago member is it connected to?

[unblock]

4. Republicans flip out over $170 million in funding for the national endowment for the arts

And then they piss away $700 million like it's nothing.

[CrispyQ]

5. The real looters.

[IronLionZion]

9. The looting started long before George Floyd's death

[gratuitous]

6. This is why the administration doesn't want any oversight

They have half a trillion dollars to shower on their friends, and they don't need a bunch of busybodies getting in the way with a lot of inconvenient questions. So, they invoke "national security" for money given to a trucking company, but nobody can say whether the president knew about Putin's pay-for-slay program last week or last month or last year. Because that's not connected to national security at all.

[secondwind]

7. Ding, ding, we have a winner!!!!!!!!!

[IronLionZion]

10. National security is always a convenient excuse and distraction

from rampant looting and corruption

[Me.]

8. So Who In The Admin Is Getting A Cut?

and how much?

[PRETZEL]

12. Why did the name Elaine Chao just pop into my mind? nt

[Me.]

13. Can You Connect Some Dots?

[PRETZEL]

16. She's was at one time Transportation Secretary

and Mitch might be able to use a bit of cash for his campaign since it may be tougher than he thought.

[Miguelito Loveless]

14. They'll use the money to pay massive bonuses to management

Then bail, leaving the company picked clean. I would check how much money the principles "donated" to Trump and the GOP.

[dalton99a]

15. Kick

[Baked Potato]

17. Kickbacks? Sheesh.