Merger?

[Razor]

That Vette have a Hemi?

http://www.iht.com/articles/2008/10/14/business/14auto.php
:icon_rolleyes:

[L8 APEX]

Mercedes helped them a lot and got out at the right time as well. Even if it was for a huge loss at the time. I don't know why GM would want to buy them. Kind of like the Ford and GM merger rumors of yesteryear.

[Ohmsby]

like Kmart and Sears really not a good move IMHO but if it drives up GM stock a little :beer:

[GoldLS1]

Honestly I'd rather see GM fall than merge w/ any of the other auto makers....

[L8 APEX]

I'd rather see Chrysler fall:tu:

[dboat]

I'd rather see none of them fall.. the more manufacturers there are the more product and choice we have.. also, the more folks that will be employed.. competition makes it all better, when we lose one, we lose more than what is apparent on the surface..

Dana

[Silver_2000]

I dont get how 2 failing companies that are handicapped by union contracts, poor design, poor sales and poor quality are going to improve by merging ?

Sink faster maybe ?

[dboat]

I dont get how 2 failing companies that are handicapped by union contracts, poor design, poor sales and poor quality are going to improve by merging ?

Sink faster maybe ?

They will reduce the common things that they are having to do for competitive reasons now.. reduce admin overhead (accting, etc). They can and will close more factories since production can be further consolidated, etc etc.. also, more leverage on suppliers (my brother works for one) in regards to price since volumes would be consolidated..

not that I am against making the product better and cheaper, but one needs to take into consideration the overall impact. (see my prior post)

Dana

[Silver_2000]

They will reduce the common things that they are having to do for competitive reasons now.. reduce admin overhead (accting, etc). They can and will close more factories since production can be further consolidated, etc etc.. also, more leverage on suppliers (my brother works for one) in regards to price since volumes would be consolidated..

not that I am against making the product better and cheaper, but one needs to take into consideration the overall impact. (see my prior post)

Dana

except that the real $ saving steps are almost all prevented by union contract

Close factories ? yes but the contracts mean the payrolls continue so the benefits are limited.

[dboat]

except that the real $ saving steps are almost all prevented by union contract

Close factories ? yes but the contracts mean the payrolls continue so the benefits are limited.

not always.. but I am not disagreeing either.. so some of the real savings wont be for a year or so.. they can probably hold on that long to then see their cash flow increase.. they need to play a long term strategy, esp with the real need to create a new class of hyper efficient cars..

[L8 APEX]

I have seen a few news clips about GM's cutbacks. On one they asked the union to go to a 4 day work week to save electricity etc and stay open. The workers voted it down so now they are getting closed down in December... Stubborn blood suckers.

[Silver_2000]

not always.. but I am not disagreeing either.. so some of the real savings wont be for a year or so.. they can probably hold on that long to then see their cash flow increase.. they need to play a long term strategy, esp with the real need to create a new class of hyper efficient cars..
My understanding was in some cases the payroll NEVER goes away

As terry mentioned they just see the plant and utilities savings

[Silver_2000]

General Motors (GM.N) said on Tuesday bankruptcy for the firm is not an option and called for coordinated federal action to assist the ailing U.S. automobile industry.
http://us.bc.yahoo.com/b?P=sTpSMNG_Rt0i5AbMRkXfogR7R_QCWUj0nSoAAgIS&T=1aseqmqd5%2fX%3d1223990570%2fE%3d7665819%2fR%3dn ews%2fK%3d5%2fV%3d2.1%2fW%3dH%2fY%3dYAHOO%2fF%3d36 61002293%2fH%3dY2FjaGVoaW50PSJuZXdzIiBjb250ZW50PSJ WaWNlIFByZXNpZGVudDtBbWVyaWNhO0FmcmljYTtNaWRkbGUgR WFzdDtjcmVkaXQ7YnVzaW5lc3M7cmVmdXJsX3d3d195YWhvb19 jb20iIHJlZnVybD0icmVmdXJsX3d3d195YWhvb19jb20iIHRvc Gljcz0icmVmdXJsX3d3d195YWhvb19jb20i%2fQ%3d-1%2fS%3d1%2fJ%3d7247BFD1&U=13fuuu1a3%2fN%3dnCSFF9G_Ru4-%2fC%3d674272.13016842.13223621.1442997%2fD%3dLREC %2fB%3d5406809%2fV%3d1
"Bankruptcy is not an option that GM is considering," Maureen Kempston Darkes, Group Vice President and President, GM Motors Latin America, Africa and Middle East, said at a news conference in Dubai.
"It would not benefit our customers, our dealers or our employees."
"There is a strong need for coordinated federal action," she said.


Must be nice to refuse bankruptcy and stick your hand out in the same breath

[dboat]

Must be nice to refuse bankruptcy and stick your hand out in the same breath

Well you know that any foreign govt isnt going to let their auto company go down that has a stake in this country.. so I agree that having that hand out is objectionable and it seems that THEY rely on it all to often and too much.. however, if there is money tied to this, then it should also happen that no incentive or bonus should accrue or be paid to any person in a supervisory or management position until all monies are paid with interest back to the lender.. (i.e. that would be us)

Dana

[Silver_2000]

Well you know that any foreign govt isnt going to let their auto company go down that has a stake in this country.. so I agree that having that hand out is objectionable and it seems that THEY rely on it all to often and too much.. however, if there is money tied to this, then it should also happen that no incentive or bonus should accrue or be paid to any person in a supervisory or management position until all monies are paid with interest back to the lender.. (i.e. that would be us)

Dana

or just give us all a car every year - They do that for members of their boards

[dboat]

or just give us all a car every year - They do that for members of their boards

thats allowed... :icon_mrgreen:

as long as I get to chose the model, options and color..