Buffet is getting in on buying American.
There is still a whole lot of FReepers ready to sell out America if it means 2 cents more in profits.
Meanwhile China grows, and grows. And grows. Now China is the world’s largest exporter. America is number two now, and falling.
Buffet is ahead of the curve. He sees a fight for national supremacy looming, which we are utterly unprepared for at present.
The sides are changing. I pick America.
So evidently does Buffet.
Buffett is used by the administration to establish confidence in unstable markets. He is one of the new American oligarchs; privy to insider information, sweet deals and too big to fail.
Extreme Bovine Excrement.
Buffett is playing a curve. GM is making a profit only because of government propping. At some point the government will cut that support and then union greed will be allowed to finish what it started. I’m sure Buffett will dump his stock at a profit before that happens.
Buying GM isn’t about buying American, it’s about supporting Obama and the union/communists.
I hate GM. But I bought it too at 22 and sold it at 25.
They extinguished 100 billion in debt due to bankruptcy.
The US govt. is their partner and will not take aggressive regulatory action against it.
Obama will keep it a float at all costs for his legacy.
It is too big to fail.
It is too politically connected to fail.
It is a really sucky company but it won’t go bankrupt before the US govt. goes bankrupt.
Maybe he figures he will get a cut rate deal from his crony friend Obama from a buyout from the Feds.
GM is destined to fail, though. GM were never required to reorganize their debts and it is pretty much business as usual with the taxpayers picking up the tab both from the stimulus and a waiver on taxes. As soon as the feds cut them loose, they will flounder and fail... again... and be another too big to fail company. Round two?
Maybe Buffett expects the taxpayers to continue to pay the bills at GM. Maybe that is part of the buyout agreement. Or some huge tax kickback.
Remember Buffett is all about everyone else paying their taxes and looking for huge loopholes for himself and his companies.
Warren Buffet - America’s premier crony capitalist.
Buying American?
You mean fascist, state-run, union-thug-made American?
There are plenty of “foreign” cars that are made in American factories by American workers and American management with American-made parts.
Thus Buffet wins, taxpayers still lose billions.
Global Motors is no more “American” than Mercedes or Toyota. They all have factories all over the world, shareholders from all over the world, and sell all over the world. In fact the article makes it pretty clear the profits Buffet expects to see won’t be coming from the domestic market.