With listed stocks getting knocked around, the New York Stock Exchange is considering extending temporary relief from listing requirements. Once a company is dropped from the exchange, it runs risks ranging from market cap loss to limited liquidity. But NYSE Euronext (NYSE: NYX) CEO Duncan Niederauer was clear that the moves are not permanent. For now, the goal remains to protect companies that are at risk of being delisted. This comes after the S&P 500 fell 38% last year -- its worst performance since 1937.

The two rules that have been relaxed are the maintenance of a share price of at least $1 and a market cap of at least $15 million. The return of both measures was delayed back in April. Currently, 31 companies on the NYSE are at risk, including Blockbuster Inc. (NYSE: BBI) and Lear Corp (NYSE: LEA).

Detroit is lobbying very hard for government assistance. Claiming severe hardship, the Big Three automakers -- Ford (NYSE: F), General Motors (NYSE: GM) and Chrysler -- are requesting loans that will prevent a complete collapse of the industry.

The past few days have been full of debate on the matter. With so many issues and questions regarding the merits of a bailout, answers will be difficult if not impossible to come by.

"Throw something up against the wall and hope it sticks" seems to be the modus operandi of the current administration with respect to the financial sector bailout. Now, Detroit is essentially asking for the same thing.

Critics are rightfully upset. There is no guarantee that loans to Detroit will ever be paid back. What results will accrue for taxpayer effort? Is this simply a black hole? Which industry will be asking for help next?

These are all legitimate questions.

The case for the bailout is simple: No money from Washington results in bankruptcy with a chance of complete failure. With that failure comes the loss of three million jobs up and down the auto food chain.

And there is the rub. This is more than just the Big Three automakers -- they and their suppliers are all at risk of complete and total collapse.

One such supplier is Lear Corp. (NYSE: LEA).

Today, Carl Icahn increased his bid for Lear Corporation(NYSE:LEA) by $1.25 per share to $37.25, or $2.9 billion through his American Real Estate Partners LP. The roughly $100 million increase seemed to appease the board's lead independent director who professed his belief that accepting the deal was in the best interest of shareholders. This increase, however, doesn't appease the largest shareholder, Richard Pzena. In an interview, Pzena said, "We're voting against this...we're not looking for an extra dollar," according to Reuters. In the same interview, Pzena maintained his view that Lear is worth $55-$60 per share. Pzena was not the only unhappy person with Icahn's first offer, either. The California State Teachers Retirement System and Institutional Shareholder Services were both fervently against the $36 offer.

With his offer, the company's board accepted Icahn's $25 million breakup fee. Therefore, if the deal doesn't go through, Icahn will pocket $25 million. This also dissatisfied Pzena who said, "It is highly unusual and very coercive. It's saying to shareholders, 'If you don't do this, it will cost you."

Lear's prospects look very bright. Following a very strong downturn in the entire US-auto business, the company is recovering nicely. Analysts expect $2.94/share in earnings next year, versus just 9 cents per share in 2006, according to Yahoo! Finance. While Pzena's $55-60/share valuation seems rather high when looking at the stock's recent action, the stock's long term performance is familiar with such numbers, as displayed in the chart
below.