general motors would say do you think pbgc would find something acceptable? i certainly gave them my judgment. >> what occurred after the july 6th, mail. this is joseph house saying he had just spoken to you and he agreed with you that any settlement discussions would be saved between direct coored nation rather than group coordination is followed by the e-mail i show youed previously which is slide 6 on july 8th. if we can have slide 6, please. where again, mr. house is reporting that he'd spoken to you and this one is 6:23 p.m. and this is july 8th. so subsequent to your reported agreement by mr. house that we're going directly coordinate this settlement negotiation in pbgc and he then reports that you say that feldman reported that he made progress discussing our proposal with a number of key folks in treasury and at the white house, that has not yet wrapped up his coordination. let's turn to slide 5, then. feldman. this is july 15th, 10:57 a.m. again, mr. -- this is karen morris forwarding one from john minky and it says feldman will take it to gm and get

delphi hourly plan and placed both plans under the trustee ship under the pbgc. treasury did not have a role in authorizing, approving or consenting to the termination of the delphi salary plan. in 2009, in connection with the bankruptcy proceeding of old gm and delphi, general motors' company agreed to honor certain commitments into which ogm had entered including the 1999 top-up agreements. new gm had stated publicly that although the delphi bankruptcy was, quote, a very difficult situation, it felt it had made appropriate provisions at the time of the spin-off in 1999. the questionious submitted to dr. bloom primarily on the task force of the auto industry was involved over the decisions made by the pbgc and regarding the pensions of former employees and retire ease of delphi as mr. bloom explained in 2009 and more recently before the subcommittee, it -- to avoid uncontrolled liquidations at a time when our economy and our financial system were already severely stressed. president obama agreed to extend that assistance provided that the companies produce a via

or i had to say to the pbgc. the issue vis-a-vis the pbgc and delphi was what claims the pbgc would have in the delphi case, what liens they would purport to have over assets of delphi, particul particularly the foreign assets and that had an impact. >> you played a role in determining the either claiming or releasing of pbgc liens on general motors, delphi assets in the bankruptcy process with respect to these pensions? >> that's not correct. >> that's what i heard you say. please clarify. >> let me be very clear. i urged the pbgc to come to decisions in a rapid manner because it had the potential to hold up general motors emergence. but i did not advocate for positions vis-a-vis the pbgc. i played the role of a facilitator or mediator, if you will, between the pbgc and general motors. >> my time expired. mr. quigley? >> thank you, mr. chairman. good morning. >> good morning. >> your audit tried to identify some of the factors that went into gm's decisions to top up some pensions and not others. that's correct,

>> the decision that the pbgc made with respect to the delphi it was what claims the pbgc would have been the delphi case and what means they would prefer to have over assets of delphi, particularly the poor in 10 foreign assets of delphi, and that had an impact on delphi's future and mgm's future. >> you played a role in determining either claiming were releasing of pbgc liens on general motors and delphi assets? in the bankruptcy process with respect to these pensions. >> that's not correct. >> that's what i heard you say. please clarify. >> i urge the pbgc to come to a decision and rapid manner because it had the potential to let general motors emergence. but i did not advocate for positions the pbgc, i played the role of a facilitator or mediator, if you will, between the pbgc and general motors. >> my time has expired. >> thank you, mr. chairman. >> your december 2011 report states that the treasury to for the judgment and did not explicitly approve or disapprove the gm providing [inaudible] it would appear that delphi pension matters decided by gm without treasury implements? >

also pbgc officials stated that pbgc independently made the decision to terminate the plans." so i would like to put that in the record. i -- it clarified -- >> without objection. >> -- the independent voice of gao. and i know that we have a representative here and we have some questions for her. i first want to ask mr. bloom, mr. feldman and mr. wilson and twint tha i want to thank them for testifying. they're out there, aren't they? yep. i don't have my glasses. i can't see. i regret i was at a hearing in financial services. i didn't hear all of it. i read your testimony. i want to know what was your overall mission as members of the auto task force? delphi was just one piece of the situation that you were facing and delphi was a major parts supplier to gm that had been experiencing its own financial troubles for some time. if you save gm but delphi failed, all of your efforts would have been for nothing, is that correct? can you -- your answer? >> i think i would echo what mr. wilson said earlier. our mission was not to save general motors. our mission was to see if there w

my colleague, charles jessik, is also available to answer specific questions regarding pbgc. >> thank you. thank you for your testimony. professor zawicki, you are recognized for five minutes. >> thank you. chairman mchenry, ranking member quigley, members of subcommittee, it is my pleasure to testify today on matters related to the obama administration's automotive task force and the refusal of former automotive task force members to cooperate in efforts to understand the tax forces controversial decision to top up delphi corporation's pension plan for delphi employees who were members of the united auto workers labor union. general motors' decision to guarantee the obligations of a completely separate company, delphi, was completely unjustified under current established principles of bankruptcy law and it increased the cost to the taxpayer bailout of the automotive industry by more than $1 billion with no reciprocal benefit to general motors. i commend this committee for seeking answers to this unexplained behavior by the automotive task force and sig-t.a.r.p. christie romero for in

with pbgc determining the delphi salary plan, it puts both plans under the trusty. treasury did not have a role in authorizing the delphi salary plan. in 2009, in connection with the bankruptcy proceeding of old gm, the general motors co. agreed to honor certain commitments that old gm had entered. new gm has stated publicly that although the delphi bankruptcy was a difficult situation, it felt it had made appropriate decisions involving t delphi -- involving the delphi plan. whether the task force was involved in the decisions made by the pbgc regarding the pensions of former employees at delphi, as mr. bloom explained in 2009, and more recently before the subcommittee, the previous administration provided temporary loans to general motors at a time when our economy and financial system were already severely stressed. president obama agreed to extend that assistance, provided that companies produce a viability plan. in 2009, president obama created the auto task force to review the viability plan for the companies. the objective that guided the auto task force was

we interviewed 43 current and former officials from gm, delphi, three unions, pbgc, the auto team and dsra which represents certain delphi salaried workers whose pensions gm did not top up. information from these witnesses and documents led sig-t.a.r.p. to determine that mr. wilson, mr. feldman and mr. bloom were the government officials who were involved in the delphi pension decision and discussions. sig-t.a.r.p. does not have the ability to compel witness testimony. there is no valid reason for these former treasury officials to refuse to be interviewed. treasury suggested that sig-t.a.r.p.'s interviews are unnecessary because gao already determined treasury's role and because mr. wilson, mr. feldman were deposed and gm and delphi's bankruptcies. gao did not conduct interviews of treasury's role or whether there was any pressure by the auto team, instead deferring to sig-t.a.r.p. also, we read the depositions and still find it necessary to conduct the interviews. the refusal by these former+++o; always supporting sig-t.a.r.p. and i'm available to answer any questions that you have.

and the number of players including delphi, pbgc, the union, gm and treasury and the role they play. mr. chairman, mr. rankin member and members of the subcommittee, this completes my purse statement. i would be happy to answer any questions you may have at the appropriate time. my colleague is also available to answer any specific questions regarding pbgc. >> thank you and thank you for the testimony. professor zywicki, you are recognized as a mature man mchenry, ranking members of the subcommittee is my pleasure to testify on the matters related to the obama administration task force and the refusal for the former automotive task force members to cooperate in efforts to understand the tax court's controversial decision to pop-up the delphi corporation's pension plan for the employees or members of the united auto workers union. general motors' decision to guarantee the obligation of a complete separate company, delphi, was completely unjustified under the current established principles of bankruptcy law and it increased the cost of the taxpayer bailout of the automotive industry by

treasury and pbgc. he is saying that the settlement discussions were at that point, as a result of his conversation with you, a direct coordination. he does not mention general motors. do you disagree with his e-mail? >> you have to ask him what he meant. i determined to mean that we would talk to pbgc. treasury did not play a role or have authority to settle issues between the pbgc and general motors. >> but you did have a role and recommendations and proposals. >> i would certainly comment. there would ask me if i find this is something that would be acceptably. i certainly gave them my judgment. and this is joseph house saying he just spoken to you and he agreed with you that it would be good for direct coordination. it is followed by the mosher to previously. if we have slide 6 please where, again, and he spoke to you. subsequent to your reported directnt, we're going to a coordinate this settlement. then reports that you say that he made progress with a number of people in treasury and white house,