General Motors to Invest $1 Billion in Brazil Operations (Money to Come from U.S. Rescue Program)

Latin America Tribune ^ | 12.08.08 | Russ Dallen

[Dr. Marten]

General Motors to Invest $1 Billion in Brazil Operations -- Money to Come from U.S. Rescue Program

By Russ Dallen
Latin American Herald Tribune staff

General Motors plans to invest $1 billion in Brazil to avoid the kind of problems the U.S. automaker is facing in its home market, said the beleaguered car maker.

According to the president of GM Brazil-Mercosur, Jaime Ardila, the funding will come from the package of financial aid that the manufacturer will receive from the U.S. government and will be used to "complete the renovation of the line of products up to 2012."

"It wouldn't be logical to withdraw the investment from where we're growing, and our goal is to protect investments in emerging markets," he said in a statement published by the business daily Gazeta Mercantil.

Meanwhile, he cut the company's revenue forecast for this year by 14% to $9.5 billion from $11 billion, as the economic crisis began to cause rapid slowdowns in sales.

GM already announced three programs of paid leave, and Ardila added that GM Brazil "is going to wait and see how the market behaves in order to know what decision to take" with regard to possible layoffs.

For Ardila, the injection in Brazil's automobile sector of 8 billion reais ($3.51 billion) recently announced by the federal and state governments of Sao Paulo "has already begun to revive sales," which fell by 12% in October.

The executive said that the company will operate a "conservative" scenario in 2009 with an estimated production of 2.6 million units, and another more "optimistic" that contemplates sales of 2.9 million.

This year sales will reach 2.85 million vehicles, which represents a growth of 15% over last year.

[John123]

Sounds like GM will be back asking for more money for the Detroit plants...

[Da Coyote]

This is a joke, right? Oops, forgot about the quality of American management.

Never mind.

[rabscuttle385]

*Ping!*

[Don Corleone]

No surprise here? Quidado! Thieves at work!

[rabscuttle385]

GM to the U.S. taxpayer: "From each according to his ability, to each according to his 'need.'"

The Money, Banking, and Financial Markets Ping List. "Money, not morality, is the principle commerce of civilized nations." —Thomas Jefferson FR Keywords: moneylist, bankinglist, financelist Please tag all relevant threads with the aforementioned keywords. This can be a very high-volume ping list at times. Ping list jointly pinged by rabscuttle385 and TigerLikesRooster. To join the ping list: FReepmail rabscuttle385 with the subject line add  moneylist. (Stop getting pings by sending the subject line drop moneylist.)

[LiberConservative]

So they can build cars the UAW are not willing to build.

[jersey117]

What happened to Obama’s “giving the corporations tax breaks if they don’t move operations overseas”? Is this how he is going to create “millions of jobs”?

[FFranco]

US taxpayers’ dollars being used for jobs in Brazil. Makes sense in a global economy, all jobs are equal.

[Mount Athos]

anyone have time to post this gem, i have to run

http://www.dailymail.co.uk/news/article-1092783/Passengers-fury-climate-change-protest-Stansted-airport-forces-dozens-flights-cancelled.html

[B4Ranch]

Jobs in America go down the tube to save jobs in Brazil, is what you are saying? Who are we bailing out?

[metmom]

Like someone else on FR proposed. Give the taxpayers money with which to buy a new car. At least we’d have a car for our money.

It gives the auto makers the income, the economy gets a boost, and the money stays in the country (more or less).

[ex-Texan]

I say 'F*** GM !" . . .

These guys just shot themselves in the b*lls. Let them all fail. Good riddance to slimy, greedy crooks. We do not need the auto industry. 'Nuff said here.

[B4Ranch]

>US taxpayers’ dollars being used for jobs in Brazil. Makes sense in a global economy, all jobs are equal.<

Then Brazilians should contribute to our taxes. Don’t worry, once we get rid of our Constitution then we can all be under the UN Charter and have a glorious One World Order.

[The Anti-One]

...the funding will come from the package of financial aid that the manufacturer will receive from the U.S. government (er... Taxpayers)

ROTFLMAO

Damn. I love it when a plan comes together. HAHAHAHAHAHAHAHA

[cll]

We’ve been discussing this here:

http://www.freerepublic.com/focus/f-news/2134136/posts

and here:

http://www.freerepublic.com/focus/f-news/2136528/posts

since last month.

[Pilated]

I will never buy any of their products the rest of my life! What traitors to this country and it’s people. Very disgusting!

[onedoug]

With RINO help.

[Dr. Marten]

[Dallas59]

Who the hell is the US Government and GM trying to “save”? Do they expect us to go to Brazil and work?