Posted on 11/23/2008 7:51:25 AM PST by re_tail20
Edited on 11/23/2008 9:40:05 AM PST by Admin Moderator. [history]
DETROIT---- General Motors Corp.'s board of directors does not consider bankruptcy protection a viable option to solve the company's financial troubles, but it has discussed Chapter 11 because it has a legal duty to do so, a spokesman said Saturday.
Century-old GM, an icon of American manufacturing, has been battered by a plunge in car sales as American consumers tighten their belts and shift away from the big moneymaking pickup trucks and SUVS that have long the staples of GM's lineup.
Why should they when there is a never ending source of operating funds available via Washington DC?
Note to the Feds: I’m sure the gov’t has a boatload of forensic accountants on the payroll. Put them to work. Someone needs to take a good look at those books.
GM Board doesn’t see bankruptcy as “POLITICALLY PALATABLE” option FOR THE UNION.
gm should invite investment from dubai.
the arabs like those big suvs.
Bankruptcy isn’t viable, but soaking taxpayers is? Someone has his priorities wrong.
I think both the union and management have something to hide. And I’ll bet the books would tell the tale.
Then they need a new board
Mr. niteowl77
Playing to the liberal DemoRAT socialist agenda.....
I bet that Henry Ford and the “robber barons” of the “Gilded Age” would look on government bailout money as a sign of dishonor and incompetence on their reputations, and would say, “Keep you bailout money. I’ll turn my company around myself without even a penny from you.”
The ONLY reason is that Union contracts become void. We know where the problem lies...stop skirting it in the name of “green”.
It’s simple really. Bankruptcy would open both the company and the union to legal scrutiny and audit, not to mention putting an end to salaries that are supposed to reflect competent performance.
I say let ‘em sweat. Sell the company for its parts, division by division. Somebody will buy Cadillac and Chevy.
There was an old story about Henry Ford, where Henry proposed parts be sent in a box of a very particular size. The “Boxes” would become floorboards.
The auto industry doesn’t want to be forced to restructure to be a viable company. They want to keep everything the same, even though the rest of the country knows that they can’t sustain their methods of operation. The rest of the country has to work hard for their money, such as it is. The auto industry wants to go along as they have been, with an average cost of $70.00 per employee. It can not longer be done. I say again, employees and unions need to take a 30% cut in pay. Either that or go on unemployment. Unions need to restructure their contracts if they want to remain also.
I don’t see the GM Board (which recently expressed complete confidence in its failed corporate leadership) as a viable option.
GM rolled over for the unions time after time, and now they are seeing the cost of their accommodation.
They are soon going to have a new board consisting of something like five hundred and thirty five members, or five thirty six if you include the messiah.
When will someone jump up on the table and ask how much the union provided to the Dem party.
The problem is not in their books, it's in their heads. Gm thinks that with a few minor tweaks, everything will be like it was before.
I was with GM forty years ago when they insisted that the "GM way" was the only way.
I think they are still under that delusion.
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