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Economy
June 13, 2009
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Auto industry experts say General Motors' attempt to shakedown the state for cash is not so shocking or unusual as people in Tennessee may think. Consider it a high stakes poker game.  GM is betting Tennessee, Wisconsin and Michigan will all come up with hundreds of millions of dollars to stay in the game.  But only one will win the new small car production line and thousands of jobs that go with it. 
The Tennessean reports cash has been part of the game for years.  Luring the Volkswagen plant to Chattanooga involved a package of half a billion dollars, including almost $230 million in cash.  The state gave GM $35 million to retrain Spring Hill workers to build the Chevy Traverse last year. 
Tennessee's cards include a modern plant that GM just spent more than $600 million to retool.  Industry experts give Spring Hill the edge.  But no one would be surprised if Tennessee folds this time.
"Governor Bredesen knows what he is doing when it comes to creating a good environment for auto jobs in Tennessee, and I'm sure he will make the right decision in this case," said Sen. Lamar Alexander (R-TN). "Tennessee has too many advantages for Spring Hill to remain idle for long — a central location, hundreds of suppliers, low costs, a superior four-lane highway system, a right-to-work law and good workers."
 

 
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