GM is months away from bankruptcy. EDIT : Files for Chapter 11

benbsb29 · 19th November 2008, 16:29

Quote:

Originally Posted by mjothi

What does MJD to do with GM selling its stake in Suzuki? i dont get you buddy.

MJD is from Fiat. And whether they have stake or not, its business. If they want to buy from Fiat they would get to an agreement and buy, right?

GM also had access/rights to use the MJD engine as per the agreement. I believe this was as they had a stake in Suzuki. Now with this stake gone, how do they get access to it?

mjothi · 19th November 2008, 16:43

Quote:

Originally Posted by benbsb29

GM also had access/rights to use the MJD engine as per the agreement. I believe this was as they had a stake in Suzuki. Now with this stake gone, how do they get access to it?

I am still not able to understand why the access is only if it has stake in Suzuki? Suzuki does not own the MJD, right? They themselves source it from Fiat.

If they really want MJD, they can still get it from Fiat. Thats what I am trying to say.

rjvora_2000 · 19th November 2008, 16:48

Hey guys I have heard that GM is not in to any trouble and they are comming up with some new model of car as well.

crn12 · 19th November 2008, 17:38

latest on the big 3's bankruptcy : Heated Debate over the bailout, this is an article from cnn.com.
My personal opinion is they shouldn't get this bailout, they should not use the tax payers money for their wrong calls

Senator rips auto industry at bailout hearing - Nov. 18, 2008

Here is a small transcript from cnn.com :

Are they good for it?
One of the sharpest critics of an auto bailout, Republican Sen. Richard Shelby of Alabama, drilled into the CEOs about the outlook for their businesses and how they would use bailout funding.

"Why should we believe your firms are capable of restructuring now when you weren't able to do it under more begin conditions?" Shelby asked. "What would you do with the money if you were able to get $25 billion, and how would you pay this money back?"

GM's Wagoner said the company's current business model can work. GM would continue with the Volt program and would use bailout funds to pay suppliers, he added.

Ford's Mulally said his company has focused on building higher quality cars that get better gas mileage. "We'll come out the other side - we'll be a turbo machine," said Mulally.

For his part, Chrysler's Nardelli said his company will soon be able to build cars as fast as Toyota. "We will generate a profit," Nardelli said.

Others weren't so sure a bailout was a good use of taxpayer dollars.

"I'm skeptical you'll get it back," said Peter Morici, a business professor at the University of Maryland.

Path_Finder · 19th November 2008, 20:44

Now Opel, unit of GM in Germany has a bidder
AFP: German group SolarWorld bids 1bln euros for Opel

SolarWorld plans to acquire Opel's plants in Germany- Automobiles-Auto-News By Industry-News-The Economic Times

AMATMO · 19th November 2008, 21:41

oh thats some very nice news , i hope opel gets into better hands its one of important german brands which should survive

VikramRao75 · 19th November 2008, 21:44

Dosent seem like it might happen though, because if GM goes bankrupt, millions of people will be without jobs, adding to America's misery right now. The govt might grant them theyr bail out package, but with alot of new rules about building better cars.

Sankar · 19th November 2008, 22:18

They should be given the bailout package if not for the companies but for the millions of people who are dependent on the big three. It's not pleasant when people lose their jobs.

Amien · 20th November 2008, 04:09

Detroit CEOs fly private jets to Capitol Hill beg-fest - Autoblog

Interesting read. Eqvivalent of turning up to a friend's house in a Ferrari and then asking him if he can lend you some cash. :P

lambuhere1 · 20th November 2008, 14:26

Chinese May Buy GM and Chrysler | The Truth About Cars

aaggoswami · 20th November 2008, 22:01

The German solar energy company although offered GM to buy Opel plants,
GM has rejected the offer.
Source : GM rejects offer to sell Opel - worldcarfans

Article :

Quote:

GM has rejected an offer to sell it's German brand Opel.

The German solar energy company SolarWorld has made an offer to GM to buy its Opel brand, including all of its plants in Germany, saying it was ready to provide a cash sum of 250 million euros and bank credit lines of 750 million. It also promised a 1 billion euro payout to all Opel staff in Germany. SolarWorld said it planned to turn Opel into the first "green" car company.

GM promptly dismissed the proposal.

"This is pure speculation. We are not going to comment on that. Opel is not for sale," Karin Kirchner, a spokeswoman for GM Europe in Zurich, Switzerland, told Reuters.

GM is in dire need of cash. It has just secured a 1 billion euro loan guarantee from the German government to sustain operations in Germany for the Opel brand. GM is also lobbying the US government for a 25 billion US dollar bailout package for the Big 3 US automakers based in Michigan.

Many analysts believe GM will have to shed several of its brands if it is to survive. And GM has been selling off assets to raise cash, including liquidating its stake in Suzuki Motor earlier this week for 230 million US dollars.

Opel has been a part of GM since 1929.

BenjiRoss · 20th November 2008, 22:18

How will this affect FM cars in India - Chevrolet Spark, UVA, Aveo, OPtra etc

mail4ajo · 20th November 2008, 22:52

Quote:

Originally Posted by Amien

Detroit CEOs fly private jets to Capitol Hill beg-fest - Autoblog

Interesting read. Eqvivalent of turning up to a friend's house in a Ferrari and then asking him if he can lend you some cash. :P

Interesting Video in this link (Bottom right portion). Facts About the Auto Crisis - GM Facts and Fiction

They are literally begging for that Govt aid with a threat saying dont give us 25 Billion now, prepare to lose 156 Billion.

amoghmasur · 20th November 2008, 22:53

Nothing to worry I guess. Mr.Obama has assured that the Detroit three will be bailed out in the event of a bankruptcy. It is not a question of just a carmaker, its GM - the pride of USA - and the US Govt will take all steps to ensure that its pride is not wounded.

aaggoswami · 20th November 2008, 23:41

Quote:

Originally Posted by mail4ajo

Interesting Video in this link (Bottom right portion). Facts About the Auto Crisis - GM Facts and Fiction

They are literally begging for that Govt aid with a threat saying dont give us 25 Billion now, prepare to lose 156 Billion.

I have already posted it here in my post :
http://www.team-bhp.com/forum/1057031-post63.html

To me it looks like US government surely has something bigger for these three automakers. The US government wont let them die like this.
But what is most surprising is the way GM is now asking for help through these articles.
And I believe that they still have some good products specially the new ones. They were late to get awake, but then are working hard. Chevy Cruze is the best example for GM and Ford's European products are equally good.
I hope that they make out of it, but right now, the scale can tilt any side.

19th November 2008, 16:48	#78
rjvora_2000 Senior - BHPian Join Date: Mar 2008 Location: Mumbai/Mulund Posts: 1,658 Thanked: 56 Times	Hey guys I have heard that GM is not in to any trouble and they are comming up with some new model of car as well.
	() Thanks

19th November 2008, 17:38	#79
crn12 BHPian Join Date: Jul 2008 Location: Bangalore Posts: 184 Thanked: 5 Times	latest on the big 3's bankruptcy : Heated Debate over the bailout, this is an article from cnn.com. My personal opinion is they shouldn't get this bailout, they should not use the tax payers money for their wrong calls Senator rips auto industry at bailout hearing - Nov. 18, 2008 *Here is a small transcript from cnn.com :* Are they good for it? One of the sharpest critics of an auto bailout, Republican Sen. Richard Shelby of Alabama, drilled into the CEOs about the outlook for their businesses and how they would use bailout funding. "Why should we believe your firms are capable of restructuring now when you weren't able to do it under more begin conditions?" Shelby asked. "What would you do with the money if you were able to get $25 billion, and how would you pay this money back?" GM's Wagoner said the company's current business model can work. GM would continue with the Volt program and would use bailout funds to pay suppliers, he added. Ford's Mulally said his company has focused on building higher quality cars that get better gas mileage. "We'll come out the other side - we'll be a turbo machine," said Mulally. For his part, Chrysler's Nardelli said his company will soon be able to build cars as fast as Toyota. "We will generate a profit," Nardelli said. Others weren't so sure a bailout was a good use of taxpayer dollars. "I'm skeptical you'll get it back," said Peter Morici, a business professor at the University of Maryland.
	() Thanks

19th November 2008, 20:44	#80
Path_Finder BHPian Join Date: Jul 2008 Location: Bangalore Posts: 622 Thanked: 6 Times View My Garage	Now Opel, unit of GM in Germany has a bidder AFP: German group SolarWorld bids 1bln euros for Opel SolarWorld plans to acquire Opel's plants in Germany- Automobiles-Auto-News By Industry-News-The Economic Times
	() Thanks

19th November 2008, 21:41	#81
AMATMO Senior - BHPian Join Date: Jul 2007 Location: Bangalore\GOA Posts: 1,456 Thanked: 7 Times	oh thats some very nice news , i hope opel gets into better hands its one of important german brands which should survive
	() Thanks

19th November 2008, 21:44	#82
VikramRao75 Newbie Join Date: Nov 2008 Location: New York Posts: 21 Thanked: 0 Times	They might get their bail out package. Dosent seem like it might happen though, because if GM goes bankrupt, millions of people will be without jobs, adding to America's misery right now. The govt might grant them theyr bail out package, but with alot of new rules about building better cars.
	() Thanks

19th November 2008, 22:18	#83
Sankar Senior - BHPian Join Date: May 2005 Location: Location Posts: 5,766 Thanked: 9,054 Times	They should be given the bailout package if not for the companies but for the millions of people who are dependent on the big three. It's not pleasant when people lose their jobs.
	() Thanks

20th November 2008, 04:09	#84
Amien BHPian Join Date: May 2008 Location: Mumbai Posts: 253 Thanked: 322 Times	Detroit CEOs fly private jets to Capitol Hill beg-fest - Autoblog Interesting read. Eqvivalent of turning up to a friend's house in a Ferrari and then asking him if he can lend you some cash. :P
	() Thanks

20th November 2008, 14:26	#85
lambuhere1 BHPian Join Date: Oct 2005 Location: @ Driver's Seat @ Posts: 708 Thanked: 106 Times	Other Option: Chinese may buy GM and others; Good Read Chinese May Buy GM and Chrysler \| The Truth About Cars
	() Thanks

20th November 2008, 22:18	#87
BenjiRoss Senior - BHPian Join Date: Jul 2008 Location: Tamilnadu Posts: 1,066 Thanked: 1,330 Times	How will this affect FM cars in India - Chevrolet Spark, UVA, Aveo, OPtra etc
	() Thanks

20th November 2008, 22:53	#89
amoghmasur Newbie Join Date: Jul 2008 Location: Bangalore Posts: 21 Thanked: 5 Times	Nothing to worry I guess. Mr.Obama has assured that the Detroit three will be bailed out in the event of a bankruptcy. It is not a question of just a carmaker, its GM - the pride of USA - and the US Govt will take all steps to ensure that its pride is not wounded.
	() Thanks