Posted on 08/01/2012 3:23:49 AM PDT by tobyhill
GM's horrible week may get more horrible.
The week began badly for the world's No. 1 automaker with the unexplained ouster of its global marketing chief. Barring a late July surge, GM is expected to report July sales numbers on Wednesday that lag behind its chief rivals. And on Thursday it will announce what is widely forecast to be dismal profit numbers for the second quarter -- largely reflecting the maker’s ongoing problems in the free-falling European car market.
Complicating matters, GM’s recent problems have been magnified by its unintended and unwanted role in the 2012 presidential campaign. Though it was the former Republican President George W. Bush who launched the bailout of the struggling maker -- and rival Chrysler -- in late 2008, it was his successor, President Barack Obama, who took that effort to the next, far more costly level. To critics, “Government Motors” is a symbol of the administration’s perceived failures.
(Excerpt) Read more at bottomline.nbcnews.com ...
They are having troubles getting concessions from the unions at their European plants.....many of which are openly communist supporters.
Plus, the European auto market is tanking fast.
But this plays right into the deal Marchionne negotiated with Obama to purchase the VEBA shares......as long as Fiat remains in the toilet, he can buy out the VEBA at bargain prices.
Another example of where a capitalist outmaneuvers a gov't hack.
“With the Plummeting stock Price How Many Billions are the Tax Payers in the Hole Now?”
16.5 Billion $ is the answer. Gov. owns 500 million shares with the break even point of $53 a share. It is currently at $19.71 a share..... nice investment Bambi!
My car is 12 years old, so I’m shopping.... But wouldn’t even think of turning into the GM sales lot. I wonder if there are a lot more like me?
huh...NPR this morning said GM sales SOARED on the strength of Malibu and the VOLT.
I almost wrecked the car,,,,But i do want what they are smokin....
The guy who built our retirement house in the Ozarks had most of his savings in GM bonds. He said he’ll probably have to keep working till he’s 80...
GM needs to distance themselves from this bastard. I will NEVER buy a car that has anything to do with them until, they do. Even then, probably a long shot. Ford for me. GM can go bust. Sorry...
I’m with you. We own one GM vehicle, purchased before the bailout. It is our last GM vehicle. To me GM represents everything that is wrong with unions, crony capitalism, excessive government meddling in business, and just, really really bad business decisions. So unless and until they turn around, no more GMs, ever. Even if they saw the light today, it would take several years for them to get their act together. It would take several more years after that of seeing them stay the course before I’d trust them. So they are probably looking at a ten year window from turnaround to me even considering buying one of their vehicles.
That is what should have happened a couple years ago instead of a taxpayer bailout of GM’s unions that screwed its secured creditors. Obama kept a company together that didn’t make sense and he also kept their unsustainable cost structure in place. Now, instead of having several smaller parts that are in a position to compete and grow, we have the same monstrosity we had before that eventually will fail again.
Is that accurate? Didn't Obama ask Bush to give him a running start on this and approve what he (Obama) wanted and not make him wait until the inaugural? Not that Bush should have acceded, but it was Obama that was pushing this, it was not Bush's idea, IIRC.
What, GM losing money? How is this possible? It wasn’t too long ago that they paid all their union members “bonuses” because of their high “profits”. Could those high numbers have been because they sold most of their output to the government?
My Silverado dually is a 2002, its a gas engine that on a good day gets into double digit numbers, its actually still very reliable but I want to get another with a natural gas conversion or dual fuel kit. The 8.1 Vortec has been discontinued for if anything being “too good” for the working class, actually its still being offered in the heavier chassis line.
Awesome pulling power for a motor that was designed for motorhomes and yachts.
Now is saying it but I wonder if superstition is playing here, who would say they will buy a 2013 model year?
Funny thing is regardless of who GM sleeps with I would actually prefer to skip a 13 model year, no factual basis of course.
I believe Bush wanted to bail out GM.
Obama bailed out the unions.
GM. Consistently building the third best domestically manufactured light trucks since 1973.
The best car they built (for it’s designated purpose) in the last 50 years was the first line they discontinued, the Pontiac Solstice.
They do build a world class pushrod V8, but these days that’s like building a world class wooden pie safe.
The only bright spots in their entire line are out of the price range for the average consumer, specifically the two performance model Corvettes and that Cadillac CTSV.
GM should have been liquidated in bankruptcy and Penske should have bought the better parts and the rest left to rot.
Please consider buying FORD.
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