Below The Beltway

Apparently, two days of begging from the Big Three CEO’s hasn’t accomplished very much:

WASHINGTON — Detroit automakers will probably leave Washington on Wednesday without the $25 billion in federal aid the companies contend is critical to their long-term survival.

After two days of testimony, the chief executives of General Motors, Ford Motor Company and Chrysler were unable to convince lawmakers to aid their industry by tapping the $700 billion financial rescue program.

A last-ditch attempt was being made by senators from automotive states to change the terms of a $25 billion loan program targeted to improving fuel efficiency. But after two days of dramatic hearings, the possibility that Detroit’s carmakers will get immediate financial help from the government appears slim.

Senator Christopher J. Dodd, Democrat of Connecticut, who is chairman of the banking committee, was quoted by The Associated Press as saying that the chances of reaching an agreement were “remote.”

“I don’t see how in the next few days this is going to move forward,” Mr. Dodd said, according to The AP. Still, he added, “That does not mean that there are not opportunities.” He suggested that the Federal Reserve could possibly step up to the job.

Earlier, the chief executives of the three Detroit automakers — Robert L. Nardelli of Chrysler, Alan R. Mulally of Ford and Rick Wagoner of Chevrolet — were back on Capitol Hill, appealing this time to the House of Representatives to approve $25 billion in bailout funds to stave off industry collapse.

Much like senators at Tuesday’s hearing, who mostly reacted with skepticism and criticism of the auto industry’s grave management problems and ability to reform, many House lawmakers expressed concern that America’s taxpayers — some of whom make less than the average auto worker — would be sacrificing when the industry was not.

Perhaps they’re reconsidering their travel arrangements:

The CEOs of the big three automakers flew to the nation’s capital yesterday in private luxurious jets to make their case to Washington that the auto industry is running out of cash and needs $25 billion in taxpayer money to avoid bankruptcy.

The CEOs of GM, Ford and Chrysler may have told Congress that they will likely go out of business without a bailout yet that has not stopped them from traveling in style, not even First Class is good enough.

All three CEOs - Rick Wagoner of GM, Alan Mulally of Ford, and Robert Nardelli of Chrysler - exercised their perks Tuesday by flying in corporate jets to DC. Wagoner flew in GM’s $36 million luxury aircraft to tell members of Congress that the company is burning through cash, asking for $10-12 billion for GM alone.

“We want to continue the vital role we’ve played for Americans for the past 100 years, but we can’t do it alone,” Wagoner told the Senate Banking Committee.

While Wagoner testified, his G4 private jet was parked at Dulles airport. It is just one of a fleet of luxury jets owned by GM that continues to ferry executives around the world despite the company’s dire financial straits.

(…)

Wagoner’s private jet trip to Washington cost his ailing company an estimated $20,000 roundtrip. In comparison, seats on Northwest Airlines flight 2364 from Detroit to Washington were going online for $288 coach and $837 first class.

Ford CEO Mulally’s corporate jet is a perk included for both he and his wife as part of his employment contract along with a $28 million salary last year. Mulally actually lives in Seattle, not Detroit. The company jet takes him home and back on weekends.

Who the heck does public relations for these companies ?