More Bad News For Gm

[gts4diehard]

Should be an interesting year for GM and the other US makers according to this article....GM must really be stuffed (even more than they have been in the last few years) if GM can't even wait until Feb to be bailed out, which is only 10 weeks away.

It would really be a shame to see this impact our manufacturers since the Australian companies are actually producing a decent product these days.

http://www.news.com.au/business/story/0,23...from=public_rss

General Motors chief executive Rick Wagoner said the US automaker would need state help before Barack Obama takes over the White House in January, telling industry publication Automotive News that time was of the essence.

"This is an issue that needs to be addressed urgently," he said, calling on the Government to "overshoot, not undershoot" the level of assistance.

His call for support came as GM shares lost 23 per cent yesterday after analysts at Deutsche Bank said they expected the stock eventually to be worth nothing at all.

"Even if GM succeeds in averting a bankruptcy, we believe that the company's future path is likely to be bankruptcy-like," the bank said.

Mr Wagoner said the entire US auto industry was suffering, with sales expected to be down by more than three million vehicles next year in the face of the global economic downturn.

[Johnny]

Combination of bad management, bad product and bad employee's are the downfall of this company.

They continue to produce large and expensive vehicles that consume plenty of fuel eg The new Hummer! is it really time to release high cost luxury vehicles at this time of bad credit.

People cannot afford to buy one and if they did, they couldnt take out a loan.

Plus the unions have GM by the balls so basically on average workers are getting 40bux an hour compared to the US BMW and nissan divisions in the south getting half that.

See the UK car manufacturing division back in mid to late 1900's basically become extinct because simply people wanted too much money for their work and strikes were as common as eating.

Bail out package for GM; just delaying the inevitable.