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View Full Version : "There Isn't a Plan B," for General Motors if Congress Doesn't Act.



megimoo
12-03-2008, 02:58 PM
GM Warns It Won't See New Year Without Aid
Auto Giant Says Without Immediate Federal Action, Company Might Not Last After December

A top General Motors executive repeated claims Wednesday that the auto giant may not make it to New Year's Day if Congress doesn't approve a federal bailout for the beleaguered industry.

"That's what we believe we need in order to run our business through the month of December," said GM's chief operating officer Fritz Henderson on CBS' The Early Show.

"We've seen not only continued pressure in our business but the pace of deterioration has accelerated. October and November were just the worst levels we've seen post-World War II."

Henderson said Tuesday that "there isn't a Plan B," for General Motors if Congress doesn't act.

Meanwhile, a top executive of Chrysler LLC cautioned that a carmaker collapse could send the economy spiraling into a depression.

Jim Press, Chrysler's vice chairman, said the U.S. automakers were "down to months left," as industry officials ratcheted up a fierce lobbying push to persuade Congress to approve as much as $34 billion in emergency aid.

"We're on the brink with the U.S. auto manufacturing industry," Press told The Associated Press in an interview. "If we have a catastrophic failure of one of these car companies, in this tender environment for the economy, it's a huge blow. It could trigger a depression."

http://www.cbsnews.com/stories/2008/12/03/business/main4644779.shtml
Comments:
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wow!! i just read the UAW voted to get rid of this "lie".....no wonder you are a prison guard ... LOL!! to funny
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That they get 95% of their pay, when they''re unemployed?
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I wouldn''t want that job, hungry.
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Allowing businesses to bankrupt is and has been part of the natural business cycle, this how the weakling companies run by idiots are weeded out. The tax payer should not be bailing out private companies no matter how big. They should file for Chapter 11 bankruptcy protection and be made to reorganize to be profitable or go out of business completely. Congress only s rews things up, look at what they have done to Social Security. Your grand kids grand kids will be paying for all of this, and the new administration want to do more of the same thing the old administration is doing.

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The argument against letting the big 3 auto makers file for Chapter 11 bankruptcy protection, is who would buy a car from a company in bankruptcy? What if the company fails , and you can no longer get warranty service, or parts?
I don''t like the Bailout either, and there need to be very strict restrictions and conditions placed on these companies in exchange, but not bailing them out could cost even more in the long run, when you consider the lost jobs, and effect on the economy.
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WASHINGTON (CNN) -- A national poll suggests that six in 10 Americans oppose using taxpayer money to help the ailing major U.S. auto companies.
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Someone else told me it can all be traced back to our foolish bailout of Chrysler 25 years ago. Now they are back again and have brought their friends with them.
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you mean the $few bn that Chrysler repaid WITH INTEREST BEFORE SCHEDULE ???

Any idea when the Us taxpayer is due to get the $45bn handed over to citibank ? or the rest of the $2.7 TRILLION handed over to SubPrime''s buddies at Goldman Sachs etc ?
Any idea what the interest rate on those "loans" are ? has SubPrime or Georgie given any indication of what the repayment schedule is ?
Just wondering cos last time I checked SubPrime and Bendy Ben were REFUSING to disclose who they''d made $2 TRILLION of loans to

Strange thing is any time I or anyone I know took out a loan, it was always with a preset repayment schedule.........guess you do things differently in america when the treasury Sec loans other peoples money to his buddies and golf partners and neighbours

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