GM Finally Figuring Out How to Save Itself

I don't understand why Wall Street is giving GM any kind of support whatsoever! Ford has been selling off brands long before this credit crisis had even started! Now GM is considering this idea as it is novel? Let them fail, let capitalism work as it should and stop this move to Socialism!

WELCOME to what history will come to call THE GREAT RECESSION!

THIS IS PRIVATE COMPANY THEY NEED TO SET DOWN LOOK AT THERE BALANCE SHEET AND BE LIKE ALL OTHER COMPANY AND CUT COST FROM THE TOP DOWN CEO PAYCUT FIRST PEOPLE OF THIS COUNTRY HAVE PRICED THEMSELVES RIGHT OUT OF COMPITION WITH OTHER COUNTRY

When it comes to seeking government handhouts, GM under present management is a bottomless pit. Its many layers of management today remains nearly as clueless as ever about what the market wants. Any bailout should be conditioned on a government-structured bankruptcy to refnegotiate union contracts, followed by hiring some of Toyota's or Honda's top managers to cashier GM's management drones and rebuild whatever remains of GM. Toyota and Honda know how to anticipate the market and run a successful automobile company.

In my opinion, the best way for the typical consumer and taxpayer to go is to let GM go into bankruptcy, so it can restructure itself. The bailout of the "Big Three" would just basically let them keep on operating the way they have and delay the bankruptcy. However, the government could back the warranties on the vehicles and should back up the pension and health plans for retirees for "The Big Three" as this was promised them. If all of these bailouts are such a great deal for the taxpayer, why aren't private entities doing the funding? Because they're not a good deal. The Fed should loan money directly to consumers and eliminate the middleman (i.e. banks). This would result in much lower interest rates to the end consumer since banks are not lending much anyway, and if they do, it's at a ridiculous risk premium. The real problem is that these lower interest rates on Treasuries are not being passed through to the end consumer. Oh, but that would benefit the consumer and not the corporations, who got into this mess on their own for the most part. Exactly!

all this is bulls--t, what about the people of this country? were is our bailout plan

Well, I can buy a Toyota that is made in the U.S.. Americans work there and the company buys from American businesses in the area surrounding the plant. The last FORD I bought had MADE IN MEXICO stamped on the door panel..

I think GM makes pretty good cars these days. Everyone disses them for their mileage, but when I compared them model-for-model with Honda, I noticed that GM's offerings typically get identical (or even better) mileage than Honda while producing more power. Seems to me that GM has the advantage in styling, too.

Set aside GM's weight problem, the basic fact remains that Banks wont lend to anyone unless it is a sure thing with no-risk. Name a business right now that qualifies? This isn't capitalism survival of the fittest, it is Wall Street worried about themselves as businesses bleed to death. Catch 22 defined to the letter!

I think the auto makers should go in to bankruptcy I think in the long run it would be better for them.Selling cars is not there problem there cost structure is there problem. The union needs to give up alot alone with there excutives also.

Why should we help GM? For years and years they didn't want to change their ways! They need to get rid of the unions and start making cars with electricity or hydrogen fuel. Who wants to buy American? They're all ugly and suck too much gas!

Here is how U fix the BIG 3. Chapter 11.... reorganize, fire all senior management, find some young-fresh perspective CEO, hire some design people from Toy/Nissan/Honda, finally, hire Steve Jobs (or Apple designers) to consult with designs... particularly interior, perhaps exterior as well....

GM needs to fail. The whole company is a disaster from top to bottom. They say they can't make money building fuel efficient small cars and trucks. Well, must be time to go the way of AMC.

wow, it's all theatre....the deal was done over the summer, a chapter 11 "on steroids", fast, get rid of all labor contracts, dump the crappy lines, and "start over" with your money. helllllooooo

GM will fail unless it gets its payroll, insurance and pension costs under control. Assembly line workers make more than cops and teachers. Ridiculous.

It is sad that alot of folks will be out of work BUT,the contracts that the unions have insisted on and the management agreeing with them is totally insane. I wish someone would have paid me 3-4 years while I looked for a different job after lay off. Go ahead and fail you jerks.

I BOUGHT A CAR FROM GM.AND IT WAS A DUD!!!!!! NO ONE MADE AN EFFORT TO HELP. I SAY THEY ARE ROBERS AND SHOULD BE IN JAIL. IT COST ME SO I SAY DONT GIVE THEM A DIME SEND THEM A BILL FOR ME. PJB

GM should retool its factories to produce Electric, natural gas, and efficiant hibred cars..

Bankruptcy would probably do them some good, give them a REAL fresh start. No, it would not be the end of the world, or of GM itself either. The technology, plants, workers, etc. will end up somewhere useful.

Whoa, Mr Blodget. Infrastructure? Bridges, roads, harbors, public buildings and many other such edifices and public assets qualify as infrastructure. Automobiles, whatever the motive technology, do not. Consider the lowly CFL (compact flourescent lightbulb). This technology has become ubiquitous first because it's cost of ownership is low. Second, as the popularity of the technology increased, economies of production scale have driven down the purchase price of the items themselves. Lastly, there are good ones (those that are well made and last a long time) and bad ones (those that perform poorly and fail prematurely). Separating the wheat from the chaff requires time and an indispensible commodity, the participation of the marketplace. Rather than a direct injection of cash to individual producers of cars that embrace a particular technology, providing tax incentives to potential purchasers (if that is even necessary) enables consumers to choose winners and reject losers. Private capital will push technology as demand increases and is a much better arbiter of the terms of investment.