Kagen: “Sell the idle paper mills”
Posted by brvanlanen on November 20, 2008
I don’t agree with Rep. Steve Kagen (D-WI08) on many issues. However when it comes to auto industry begging for a government bailout I do. If the private equity firm that owns Chrysler is in need of cash then sell the paper mills the NewPage Corp. (which you also own) closed a few months ago.
U.S. Rep Steve Kagen doesn’t want Congress to provide $25 billion lifeline to U.S. automakers.
Kagen opposes providing money to Chrysler, which is owned by Cerberus Capital Management LP. Cerberus, a large U.S. private equity firm, also owns NewPage Corp., which recently closed paper mills in Niagara and Kimberly.Community leaders want NewPage to sell the mills to another paper manufacturer, but that appears unlikely.
“If Cerberus needs to raise cash to bail out Chrysler, then they should sell our idle paper mills in Kimberly and Niagara,” said Kagen, D-Appleton. “Cerberus already has millions of dollars of assets in these mills which they can sell tomorrow, putting my friends and neighbors back to work, and generating the capital necessary to keep Chrysler afloat.”
Kudos to Kagen when it comes to opposing this plea for help from the auto industry.
