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GM: $12B needed to keep operating ("There isn't a Plan B," - Bail-US-Out or Pay Big-Time)
AP on Yahoo ^ | 12/2/08 | Ken Thomas - ap

Posted on 12/02/2008 5:12:22 PM PST by NormsRevenge

WASHINGTON – General Motors Corp. said Tuesday it needs $12 billion in government loans to keep operating, telling Congress in a bluntly worded report that its collapse could have "severe, long-term consequences to the U.S. economy."

GM said it would seek up to $18 billion from the government: $12 billion in loans, including $4 billion by the end of December, and a separate $6 billion line of credit in case market conditions worsen.

"Absent such assistance, the company will default in the near term, very likely precipitating a total collapse of the domestic industry," GM said, contending its collapse would have "a ripple effect that will have severe, long-term consequences to the U.S. economy."

"There isn't a Plan B," said Chief Operating Officer Fritz Henderson. "Absent support, frankly, the company just can't fund its operations." He said GM would need $10 billion to $12 billion by late March.

(Excerpt) Read more at news.yahoo.com ...


TOPICS: Business/Economy; Front Page News; Government; Politics/Elections; US: Michigan
KEYWORDS: automakers; bailout; detroit; generalmotors; planb
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To: SERKIT
Let’s cut out the middleman. If we (taxpayers) are to OK the deal, it will inflate the national debt and require T-bonds to be sold bought up by.....the Chinese. Why not sell the “big 3” to China and cut out the middleman?

Really.

Option A: US car makers go broke and the industry is taken over by the Japanese.

Option B: US car makers get bailed out and the US itself is progressively owned by the Chinese.

Given the choice, I'd prefer to be owned by the Japs.

61 posted on 12/02/2008 10:35:01 PM PST by john in springfield
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To: NormsRevenge
Of course there is a plan B. It's called Chapter 11.
62 posted on 12/03/2008 12:03:49 AM PST by curiosity
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To: NormsRevenge
There isn't a Plan B," - Bail-US-Out or Pay Big-Time)

Bail-US-Out Pay Big-Time or Pay Big-Time

Fixed for accuracy.

63 posted on 12/03/2008 4:30:40 AM PST by lowbridge
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To: john in springfield
Given the choice, I'd prefer to be owned by the Japs.

Works for me - just get us out from being the middle-man. The problem is that China is holding a lot of our debt right now. With Hillary as SoS, look for even more cozy relationships with China given the Krinton's previous Chinese connections.

64 posted on 12/03/2008 5:30:17 AM PST by SERKIT ("Blazing Saddles" explains it all.....)
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