RSSGM Bailout Surprises
Feb 23
A good read: 9 Bailout Surprises From GM and Chrysler
I’ve been paying attention mostly to GM and didn’t realize just how bad Chrysler was doing. It sounds like they’ll be done fairly soon.
The most aggravating thing for me is that GM did absolutely nothing until the government stepped in. Taking a look back, they’ve been losing money for years. The current recession had been visible for years prior, so that wasn’t a surprise. Why did GM wait until it secured public money to finally come up with a restructing plan?
Anyone who runs a company as big as GM and can’t predict the current mess at least 2 years ago shouldn’t be there.
Feb 23, 2009 @ 19:34:37
I was thinking on this recently. It’s only been two months since GM and Chrysler last asked for a bailout. Can they last two to three years, coming back to the public begging for money every time their bottom line adds up into a negative that threatens to sink their company?
Feb 23, 2009 @ 20:12:04
Agreed, I think they’ll be back for more money many times.
None of these companies were really posting profits even when times were “good” anyways. They may have, at times, posted a minor overall profit but I don’t believe any of their North American vehicle divisions were profitable.
The current situation shouldn’t have surprised anyone.