General Motors (NYSE: GM) reiterated today that it doesn't want to file for bankruptcy."GM has not changed its position on bankruptcy," the company said in a statement. "Restructuring the business out of court remains the best solution for GM and its constituents."
"The company firmly believes an in-court restructuring would carry with it tremendous costs and risks, the most significant being a dramatic deterioration of revenue due to lost sales."
"Dramatic deterioration in revenue"? You mean like sales falling 53%? If people were buying GM cars, then the "Don't file for bankruptcy because we'll lose customers" argument might make sense. But even then, it really doesn't because independent research has shown that a GM bankruptcy actually wouldn't make customers any less likely to buy the company's cars.
What General Motors management should do is shut up and try to cut costs and restructure the company. But to make statements complaining about the possibles conditions for receiving the government cheese that you're asking for is completely obnoxious.
Why General Motors CEO Richard Wagoner still has a job is completely beyond me but since he does, he should do us all a favor and issue this memo to his PR corps: "Shut up."











Reader Comments (Page 1 of 1)
3-06-2009 @ 3:50PM
ed said...
I agree who cares about GM. I,am 66 years old. My life savings are gone. My wife develpoed cancer and as you can expect my insurance was not renewed. As soon as she goes, one of the fat cats will pay, i promise
3-06-2009 @ 4:26PM
tunakurtz said...
Save the taxpayers money! Let GM file chapter 11 and clean out the rats nest! Besides the other auto companies will pick up the slack ! GN is a dead horse and has been for 30 years!
3-06-2009 @ 5:10PM
ic.london said...
GM hasn't changed their position? They don't seem to change much of anything. That is why they are in this position in the first place.
3-06-2009 @ 5:23PM
Doug said...
Right on, ic.london. GM hasn't changed anything about how it does business while most everyone else has at least seen some of the writing on the wall. They put their profits into dividends instead of R&D and now they have nothing new and more efficient to lure customers in with. Reintroducing souped-up models of yesteryear isn't going to pay the bills either.
3-06-2009 @ 6:20PM
gsummitt said...
The workers are what everyone SHOULD be worried about. The reason the hired on was for the benifits and promised retirement plan. That's the same reason ANYONE goes to a company. We can't let the innocent workers get screwed for the mismanagement of the company. Let GM re-make the management, but insure the workers get what they have been promised. the most holy thing in this world is one's kept word.
GS.
3-07-2009 @ 12:07AM
Gary Summitt said...
What we ALL need to INSIST upon most, is that GM and ALL OTHER companies, are made to KEEP THEIR PROMISES of employment and retirement to the workers. Management runs the company.Workers just do what they are assigned. They do NOT deserve to be SWINDLED. Contracts are agreed to by BOTH SIDES. The most HOLY thing in our human world is YOUR PROMISE. Your WORD is the ESSENCE OF YOU.
Let GM re-make the management team, but leave the workers alone and protect the comittments promised them.
GS.
3-06-2009 @ 7:07PM
JP said...
GM needs to file bankruptcy and get on with it before it takes the US down completely---Quit moaning and do like the airlines did--restructure your company so that it can become profitable w/out anymore handouts from Uncle Sam--END OF STORY!!!
3-07-2009 @ 9:51AM
DredselW said...
GM, Ford, and Chrysler have been under assault from the media and government for decades. Their products face heavy tarrifs in foreign countries while foreign cars are allowed easy access to our markets. The Japanese tried to put Harley out of business by dumping bikes below costs. If not for Reagan they would have succeeded.
3-07-2009 @ 12:40PM
babyraymond8 said...
You people are the same ones who will give 40 times more money to bailout AIG, Citigroup, and Bank of America. I say save GM!! Save a company that has been employing americans with decent wages and benefits for 100 years. We should be trying to save and create these jobs or else we will all be greeters at Wal-Mart!!
3-08-2009 @ 8:43PM
tunakurtz said...
uaw workers should be pay raises, not pay cuts!
3-09-2009 @ 11:22AM
tsafa said...
SCREW GM WORKERS. They should not be getting $70 /hr for assembly work. They should be getting $15/hr. $20 per hour for the best of them. I'll keep buying cheaper, better foreign made cars till they fix this.
3-09-2009 @ 11:34AM
tsafa said...
Citi Group is not UNION. Big difference. Everyone is paid on the basis of their individual worth. A teller get $10 /hr. A finance manager gets $300 /hr. If they stop producing they get fired in a heartbeat. Citi Group has cut fat and layed off people by the thousands. How many has GM laid off? That is why the banks are worth bailing out and GM is not. The Banks can fix themselves. GM can not fix itself as long as it is a slave to bad union contracts. Screw GM and screw the Unions.
3-10-2009 @ 1:16PM
genesis68ba said...
Zac - The better question is who freakin ' cares what a little sophomore in college (such as yourself) thinks!
Once again you display your complete ignorance over a topic.
Just curious as to why you have yet to mention that Toyota is asking for $2 billion in loans from their government!
You really need to find something else to do in your dorm room.
3-18-2009 @ 2:01PM
tunakurtz said...
GM can not suvive with the current union UAW contracts! They should file chapter 11 and break all the union contracts, in order to be viable again!
3-29-2009 @ 10:33PM
ed cushing said...
My grandfather was wounded at Iwo Jima...I drive a Chevy. You drive toyota or honda...your grandchildren will probably drive a Muslim Cleric mobile. The Japanese had a long term plan to win the war. They never stopped fighting. Those of you that send your money out of our economy into theirs are the new kamikazes.