GM Files for Bankruptcy

[KenP]

As expected, GM filed for bankruptcy this morning. Here's some bits and pieces:

General Motors filed for Chapter 11 bankruptcy protection Monday as part of a plan under which the government will pump another $30 billion into the company with the aim of re-creating the troubled automaker.

Now get this crap:

Senior administration officials, who declined to speak for attribution, said the U.S. government will be a "passive" investor but will oversee operations at the new GM because "the taxpayer will want us to."

They haven't been passive in firing the CEO.

The government will receive $8.8 billion in debt and preferred stock and 60 percent of the company's equity. Treasury will appoint all new board of directors members not appointed by the VEBA and the Canadian government.

That's not very "passive".

And if you own stock, say goodbye:

The plan is for the federal government to take a 60 percent ownership stake in the new GM. The Canadian government would take a 12.5 percent stake, with the United Auto Workers getting a 17.5 percent stake and unsecured bondholders receiving 10 percent. Existing GM shareholders are expected to be wiped out.

Goodbye Hummer:

The downsized GM brands will be limited to Chevrolet, Cadillac, GMC and Buick. Its Pontiac, Saturn, Hummer and Saab operations will be either sold or closed. GM said it was finalizing a deal to sell Hummer, and plans for Saturn are expected to be announced within weeks.

The government will only vote on core governance issues, including the selection of a company's board of directors and major corporate events or transactions.

That could include sporting events, such as NASCAR.

Well, there's nothing we can do about it, so we'll have to sit back and see if the Obama administration keeps it word. I doubt they will.

[DDWH]

Originally Posted by KenP

As expected, GM filed for bankruptcy this morning. Here's some bits and pieces:

Now get this crap:
They haven't been passive in firing the CEO.
That's not very "passive".

And if you own stock, say goodbye:

Goodbye Hummer:
That could include sporting events, such as NASCAR.

Well, there's nothing we can do about it, so we'll have to sit back and see if the Obama administration keeps it word. I doubt they will.

Fawking "Government Motors"! Just got done watching the whole press conference a little bit ago....when I heard about the new lineup push it was little echo cars and the new camero. So is that the new trade off, abunch of little $hit cars and one muscle car?

I bet thes assklowns come out with a car named in honor of Barry!!!

[KenP]

You'll love this:

With the federal government emerging from the GM bailout owning 60% of the company, the new GM will be run by the politics of the Obama Administration, not economics. That means it will be run to serve the interests of the UAW and the environmentalist groups that are major players in Obama?s political coalition, not consumers.

Already the UAW has rightly bragged that its workers have given up nothing in wages and health and pension benefits. And who is going to say no to UAW demands at the next contract negotiation? The politicians in Washington?

American consumers would never choose to buy the tiny, two door, Sierra Club cars we are now going to see out of Detroit. But the Obama plan is not to allow them a choice. That is what the new 39 mpg CAF? standard is all about. That doesn?t mean your next SUV is going to get 39 mpg, dummy. It means your next car will look like it is competing with a John Deere lawnmower.
Closing the deal will be the new cap-and-trade taxes Democrats are now ramming through Congress. Those taxes will impose massive penalties on anything but Detroit?s new Fred Flintstone cars designed by the Environmental Defense Fund. So will the $5 per gallon gas we are going to see because the Obama administration is so busy shutting down new oil production.

As for the taxpayers, the sooner the plug is pulled on both GM and Chrysler, the better.

http://foxforum.blogs.foxnews.com/20...gm_bankruptcy/

I get really pissed just thinking about it.

[Dave92270]

Originally Posted by KenP

You'll love this:

http://foxforum.blogs.foxnews.com/20...gm_bankruptcy/

I get really pissed just thinking about it.

same here....mad; well we better take a good care of our current trucks..

[HUMMERcustoms.com/TAZ]

My first thought is since tax payers will never get the money back the only rides I will buy to ware out while saving my H2 is a Ford. If we revolt against the gov. plan with Chrysler and GM which is to play to the enviro's and UAW VOTE maybe the majority of us can make a point.

If gov. had wanted to just make loans with a plan to pay it back like they did Chrysler way back when, the gov. did not place ant conditions on what the product brand was to be as they basicly did do this time around especialy GM. It may not have been deals above the table the gov. intentions were understood.

TAZ