"Irrelevant to the topic at hand. Again."
I honestly think you've forgotten the topic at hand the315185. It is Chebby challenge to you to prove your premise that Mexican operations have cost GM "billions and billions and billions". Remember?
You have not presented one piece of evidence to support this rather Trumpian statement.
"GM open 2 new plants in Mexico in 2008 it cost money to build these plants. Second GM was spending needed money closing plants here."
Which 2? I only know of San Luis Potosi.
"They spent money they didn't have to spare."
How much money (cash and cash equivalents did they have at the end of 2007?
"Again GM could only export the Mexican assembled back to America and Canada."
Why? And why do you care? Don't you think those are big enough markets?
"The fact is now no advantage for GM now that the Germans, Japanese and Koreans using NAFTA. "
So what do you propose GM does? It would be a huge DISADVANTAGE to bring them back to the US.
"Makes you wonder if Congress and the President gave any thought this would happen."
I doubt that Clinton anticipated this. He started believing the UAW propaganda that US worker were competitive with anyone in the world.
"The sad part GM only sells a few in Mexico at least they have good sales in China."
Do you think GM really cares much about how cars they sell in Mexico? You are again proving yourself to be incapable of learning. I have told you numerous times, Mexico is a production center, NOT a sales center.
I mentioned a couple of weeks ago that my neighbor had a brand new Tesla and I would talk to him to see how he likes it. I finally got the opportunity the other day and thought I might pass along his feelings.
Overall, he loves the car, but he has had a few adventures with it.
He bought the car in Cleveland. It is about 200 miles from Cleveland to our houses so he was able to drive it back without stopping for a recharge. You can't buy one in MI due to the dealer lobby in the state legislature which is clearly scared to death of any competition.
He only had it for 2 weeks and was rear ended causing quite a lot of damage due to the aluminum construction. He took the car to Chicago to be repaired at Tesla's suggestion, and it languished there for 6 months. Tesla was so embarrassed that they gave him a basic Tesla for a loaner after his stringent complaints. When got it back, he was pleased with the repairs. It's nearly 300 miles to here from Chicago and it was in the winter (he says he loses about 20% battery charge in cold weather), so he had to stop in Ann Arbor where they have a Tesla charging station (not on the way, had to make a detour). He said it took about half an hour to get an 80% charge which was enough to get him home.
He also says the car parts are not that great, i.e., seat comfort, handling, body fits. He loves the acceleration and the instrumentation.
All in all, he likes the car and has no regrets about buying it.
- TOTAL net assets in ALL of South America are $7B. To most people proficient in the English language, "Billions and Billions and Billions" means at least $6B. You really need to put some proportion into your arguments.
- You need to understand that neither Mexico, Venezuela, nor Brazil are profit centers as reported, so you (and everyone else) are clueless as to whether money is being made or lost in those countries. We need to look at the regional profit centers to get a feel for profitability. In the case of Mexico, it is part of the North American profit center which reported "Billions and Billions and Billions" of earnings, not losses, in 2015. A cool $11 billion to be exact. In South America in Q4, GM broke even. There was a FX deterioration of $200M which was more than offset by improvements in mix, price, and cost.
""but you've yet to explain the "Billions and Billions and Billions" GM has lost in Mexico."
I have explained this. Multiple times. This is not difficult stuff to dissect. Let me simplify it for you?
When a CFO makes a decision about cash allocation and investment, results must be measured."
I haven't had time to keep up with this conversation until today, but let me say that I have read your explanation and only have two reservations about it:
1. It seems to have no support in actual fact.
2. It is wrong.
Let me elaborate.
"When a CFO makes a decision about cash allocation and investment, results must be measured."
In the by-laws and procedures of any company, there are Approval Limitations. In GM, an officer of the company is limited to signing projects under $25M, senior officers (such as CFO) up to $50M, and the CEO is limited to $100M. Over that, the BOD has to approve. To invest "billions and billions and billions", obviously it is not the CFO's sole prerogative.
In addition, the CFO would not be proposing projects that deal with the operating sector of the company, quite obviously the operating group would have that responsibility. The CFO would be one of the staff executives that would have input, but not execution responsibility.
"GM chose to invest billions of dollars in Mexico at the same time that they were losing hundreds and hundreds ( and ultimately well more than a billion/s) of millions of dollars in Venezuela and Brazil."
OK, yet another clumsy attempt to change/divert the subject. I thought we were talking about Mexico. I fully understand that you want to divert to Venezuela and Brazil instead of Mexico. Here are some interesting facts you may want to consider before engaging in any future proclamations:
"I can balance a check book, but the leadership at GM couldn't, even with all their writing skills."
What about Pat Buchanan's article? Have you abandoned it.
"Stick to the subject at hand, I'm not here for a writing class lecture."
Your grammatical ineptness is the least of your problems with that paragraph. I would try to explain why the content is wrong, but you have proven yourself to be incapable of learning.
"Yes that is right GM and Ford no longer has a advantage anymore with Mexico weak labor laws and cheap labor. GM pulled out of Russia because of their weak Currency. Russia wasn't a export hub like Mexico."
Jeye, there are so many things wrong with those four sentences (should be five) I don't know where to begin, so I won't. You had best stick to your cut and pastes.
"No need to fret. It's all there. I'll leave it to you and your international expert buddy to square away. Enjoy."
I believe you have him cornered Chebby. He is asking us to explain something that we know to be wrong. What kind of logic is that?
It's interesting to me how anyone that has been proven wrong on so many occasions will continue to insist he's right.
"The other day, however, John McElroy reported that Toyota may be
down to only $18.5 billion in cash with rapidly spiraling debts."
There's an easy way to check this out Jeye. Why don't you?
"How is Takata still in business? It produces what I would think is the most recalled product ever?"
The Japanese OEM's are most affected and they have inadequate capacity at other sources to replace Takata for both new parts and replacement parts. They will not let them go under at least until they can resolve those capacity issues in one way or another.
"I even googled "Mexico is costing GM Billions" but all I get is articles detailing GM Mexican investments and how they're saving big in doing so. Now what do I do?"
Of course there's nothing on the internet about GM losing in Mexico. It's a secret, and only the315185 has unlocked the code.
"It is incredibly difficult to hold my temper with you. "
Oh my, what ever will you do? I'm getting a visual of someone stomping their feet and steam coming out of their ears under great pressure. Relax, it's OK to be wrong occasionally.
But thank you for this morning's laugh.
" Maybe you'll use your tremendous international business acumen and share with us where your think the Peso, Real, Bolivar and Renminbi are going (GM business units all)? Oh, and the Forint. If that is too much, just the Peso would be fine. "
Nope. Out of my swim lane. But feel free to do so yourself. I'm always up for a self immolation.
"No, the argument was never that Mexico was financially disastrous."
There's another one! The315185 has done it again! LMAO. The guys got a million of them!
"Ahh, jeez, I might as well come clean. I've never even heard of Szentgotthard. If you had said Szentgotthard was in Poland or Slovakia instead of Hungary, I'd have believed you. "
Can't blame you...not a big place. It's very near Vienna, just across the Danube. The difference between the two cities is striking though. Obviously Soviet influence was not a friend to Hungary.
"Wngr, as I recall, our VUE had some sort of a software glitch, so they reprogrammed it and/or changed a valve on the tranny. "
Sitting in the Toronto Airport doing this on my phone, but will do the best I can. The software change was to minimize the damage, but was in no way a real fix. Same with the valve. The real problem had to do with the geography they were trying to engineer in. There wasn't enough room (width) for the two pulleys so they had to try and increase the pressure to create enough frictional force on the segmented belts so they wouldn't slip. No one, including Borg Warner who designed the belt fully understood the finite element analysis at the interface of the belt and the pulleys, and the result was that WAY too many of them slipped....and once they slipped once, it was a goner.
"The CVT was made in Szentgotthard, Hungary although the manufacturing was not the issue. It was purely a design failure. I've been in the Szentgotthard plant and it is a very good plant."
The CVT was removed from production as quickly as possible and was replaced in the 4 cyl applications by a 4T40E transmission made in Windsor, ON. And....the engineers responsible were never seen again.
"....and now Mercedes CLA (may I say that the cla may be the ugliest new car on the road."
Yes, you may. But be aware you make look like a fool when you do.