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2008-11-11 Home Front Economy
Yet Another GM Bailout
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Posted by tipper 2008-11-11 00:56|| || Front Page|| [11129 views ]  Top

#1 Link

GM to cut production, idle 5,500 hourly employees

CHICAGO (Reuters) - General Motors Corp said on Monday it will cut production in North America due to declining demand through the first quarter of 2009. Highlights:

* Says production cuts to result in idling of 5,500 hourly employees

* Says to record a charge of at least $300 million in Q4, 2008, for capacity

actions

* Says have started providing materials for the Strasbourg transmission plant

to interested parties

* Says GMAC will cease wholesale originations to dealers in Australia, New

Zealand by December 31 and transition out of business

* Expects $1.4 billion cash expenditures for 2008 capacity reductions in U.S.,

Canada of which $0.1 billion to be spent in 2008, $0.6 billion in 2009, $0.7

billion beyond 2009
Posted by 3dc 2008-11-11 04:05||   2008-11-11 04:05|| Front Page Top

#2 Let 'em croak, the good parts will survive.

BWAHHAHAHHAHAHAH YOUZE BASTIDS, THOUGHT YOU'D GET AWAY WITH THAT 1978 MALIBU STATION WAGON DID 'YE? NO! IMA SWORE THEN... DIE, DIE, DIE, DIE,


Posted by .5MT 2008-11-11 06:56|| www.cybernations.net]">[www.cybernations.net]  2008-11-11 06:56|| Front Page Top

#3 How come they never fire managers? Its ALWAYS hourly guys, you know, the people who actually do the work.
Posted by bigjim-ky 2008-11-11 07:05||   2008-11-11 07:05|| Front Page Top

#4 Because we're all wrapped up in 'measuring'. Someone can tag a 'car'[unit] to a sale. If there is no sale then the need for a unit is not there. Thus the resources needed to produce such a unit no longer exits. However, if you're a manager it magically becomes iffy nebulous as to how it is tied to each unit. While they can tie whole blocks of management by divisions [that produce or not produce] those working inside are able to a greater degree fudge their accountability to the unit. So, you kill whole divisions [but the fraternity of good o'boy managers is reluctant to cut off whole limbs of like minded fellow travelers - thus GM maintaining duplicate production lines and divisions for decades]. The organization has failed because it couldn't do that for so long. Time for it to die as a whole.
Posted by Procopius2k 2008-11-11 07:30||   2008-11-11 07:30|| Front Page Top

#5 "As GM goes, so goes the nation."

Who will bail US out?
Posted by Besoeker 2008-11-11 08:00||   2008-11-11 08:00|| Front Page Top

#6 .5MT: not quite. What's happening to GM now, it's cosmic payback for my '78 Monza Wagon. KARMA, Mister UAW dude!
Posted by Mike 2008-11-11 08:06||   2008-11-11 08:06|| Front Page Top

#7 Wrong again 'zerker What he said what "has goes the nation so goes GM" you've been fed to much conventional pap.

Posted by .5MT 2008-11-11 08:06|| www.cybernations.net]">[www.cybernations.net]  2008-11-11 08:06|| Front Page Top

#8 Mike Dawg... Ima not know how to tell you dis.... that's a noting but a Vega...

AIYEEEEEEEEEEEEEEEEE!

Posted by .5MT 2008-11-11 08:08|| www.cybernations.net]">[www.cybernations.net]  2008-11-11 08:08|| Front Page Top

#9 There will plenty of Gov money when all income tax rates goes up including the top rate to 39.6% in 2001 w/ the expiration of the Bush tax cuts. In Jan 2009, capital gains tax goes from 10% to 20%, though it looks like few will have any to report. In addition the Marxists Obamists is already letting the word out of another 5% surcharge for a max rate of 44.6%. Why the fuck w/ property, sales, FICA, Medicare taxes a high earner wants to give away 60% of his earnings is beyond me. Better to take it easy, earn a few bucks less, and spend more time on holiday.

And it you are going to die, do it before 2011 when the estate tax goes back up to 60% and $1 million.
Posted by ed 2008-11-11 08:11||   2008-11-11 08:11|| Front Page Top

#10 top rate to 39.6% in 2011
Posted by ed 2008-11-11 08:11||   2008-11-11 08:11|| Front Page Top

#11 I guess the marginal tax rate would go up to 70% in states w/ income tax, like California.
Posted by ed 2008-11-11 08:18||   2008-11-11 08:18|| Front Page Top

#12 Like I said yesterday, what's the UAW giving up to save their jobs?
Posted by tu3031 2008-11-11 09:12||   2008-11-11 09:12|| Front Page Top

#13 Should We Really Bail Out the Big Three Automakers with $73.20 Per Hour Labor?
Even though this article is anti big three auto, the first chart explains why having a domestic auto industry is important. It's important at even 1/2 the hourly wage, esp now that high school graduates are limited to working for Walmart wages. For the health of the economy, bring auto production back home.
Posted by ed 2008-11-11 09:14||   2008-11-11 09:14|| Front Page Top

#14 No big deal. We can just triple the minimum wage.
Posted by .5mt 2008-11-11 10:01|| www.cybernations.net]">[www.cybernations.net]  2008-11-11 10:01|| Front Page Top

#15 Or jobs disappear and wages go so low that the gov can't cut your pension check each month.
Posted by ed 2008-11-11 10:07||   2008-11-11 10:07|| Front Page Top

#16 Let 'em fail. When the plants fall idle, someone can buy them for pennies on the dollar and start a new car company from scratch that is both viable and efficient. And one that preferably keeps the unions out. That's how the market's supposed to work, right??
Posted by IG-88 2008-11-11 10:40||   2008-11-11 10:40|| Front Page Top

#17 I can't wait for my Government designed and built car....long live THE HOMER!
http://simpsons.wikia.com/wiki/Image:The_Homer.jpg
Posted by Uncle Phester 2008-11-11 10:42||   2008-11-11 10:42|| Front Page Top

#18 .5MT: It was Vega sheet metal with Monza badging. That which we call a Vega, by any other name, is just as craptacular.
Posted by Mike 2008-11-11 10:44||   2008-11-11 10:44|| Front Page Top

#19 The single best thing for GM, and Ford, is to take the bankruptcy tack. They then abort, with a judge's orders, their existing union agreements. Cleans the slate with regard to wages, health benefits, retirement benefits, contractual agreements with suppliers, et al. However, management still fears this route, cause the same judge could dump their dumb asses, force sales of all corporate assets both domestic and worldwide. So the Top Monkeys try to hold on, riding the backs of taxpayers. Either route places a tremendous burden on taxpayers. The next large injection of billions to the auto industry ought to be reserved for development towars enabling electrical plug-ins, dooming the shieks to camel f**king for the remainder of their days. Combined with the capital needed to upgrade electrical power infrastructure, this will require a coupla trillions. We need nukes and a superconducting power grid to support an electric auto transition. But at least we would be energy independent.
Posted by Woozle Elmeter 2700 2008-11-11 10:58||   2008-11-11 10:58|| Front Page Top

#20 Seriously, I'm no fan of Managment, but they're NOT responsable for crappy design,just responsible for putting it together as well as possible. As well as the design allows.
Posted by Redneck Jim 2008-11-11 11:45||   2008-11-11 11:45|| Front Page Top

#21 $2.89/share @ 1:09 eastern time
Posted by 3dc 2008-11-11 13:06||   2008-11-11 13:06|| Front Page Top

#22 If GM goes bankrupt what happens to GMAC financed auto purchases?
Do all of us have to come up with the dough on the spot or lose our cars?
Posted by 3dc 2008-11-11 13:07||   2008-11-11 13:07|| Front Page Top

#23 3, some other company will get that debt and it will be owed to the new company.
Posted by Mike N. 2008-11-11 13:14||   2008-11-11 13:14|| Front Page Top

#24 Obamalada (note Land of Lincoln plates) - if you have to ask how much it costs, you won't be able to afford it. Pictured is the 2010 thru 2020 model with windsheild and side window cracker redneck see-thru model with standard equipment redneck fat tires.
Posted by Besoeker 2008-11-11 14:09||   2008-11-11 14:09|| Front Page Top

#25 GM really screwed the pooch when they killed Oldsmobile and continued to keep nursing the Buick along. If Ransom E. were alive today he would be rolling over in his grave.....
Posted by USN, Ret. 2008-11-11 15:44||   2008-11-11 15:44|| Front Page Top

#26 GM really screwed the pooch when they killed Oldsmobile

Nuss! Nuss! Ima need the saline fluids and the good stuff. Ifn you are catch mi drift
Posted by .5mt 2008-11-11 15:54|| www.cybernations.net]">[www.cybernations.net]  2008-11-11 15:54|| Front Page Top

#27 that's a noting but a Vega.

As Shakespeare said, a Vega by any other name would rust as fast.
Posted by SteveS 2008-11-11 19:20||   2008-11-11 19:20|| Front Page Top

#28 GM to suspend production at Korean plants

General Motors plans to suspend production at its factories in South Korea for about two weeks starting next month in one of the strongest signs yet that the crisis in carmaking has spread to Asia.

The shutdown will take effect from late December and affect all five of GM’s Korean plants formerly owned by Daewoo, which form one of the loss making US carmaker’s best-performing business units.

“The economic crisis is truly global,” Jay Cooney, GM Daewoo’s vice-president, said. “What we’re beginning to see here in Asia is no different from what is going on in Europe and what has already happened in the US.”

Company officials said the temporary closure in Korea stemmed from slowing demand and GM’s need to manage production and rising inventories rather than a shortage of cash.

GM said last week it had burned through $6.9bn of cash in the third quarter, and warned it might reach the minimum amount of money needed to stay in business by next year unless it received financial aid or car markets improved.

However, slowing business at GM’s formerly money-spinning Asian arm will add to mounting troubles at GM, which is lobbying US lawmakers for funds to rescue it from financial failure.

Separately PSA Peugeot Citroën on Tuesday confirmed it had dismissed about 1,000 temporary workers in China at its joint venture with local carmaker Dongfeng because of slower sales. The layoffs will reduce the headcount from 9,000 to about 8,000, a spokesman said.
Posted by 3dc 2008-11-11 20:38||   2008-11-11 20:38|| Front Page Top

23:55 rjschwarz
23:33 Pappy
23:24 Pappy
23:21 Pappy
23:17 ex-lib
23:16 USN, Ret.
23:13 ex-lib
23:09 USN, Ret.
23:09 SR-71
23:05 mojo
23:04 ex-
23:03 mojo
23:02 ex-
22:59 Glenmore
22:58 ex-
22:55 mojo
22:55 USN, Ret.
22:53 logi_cal
22:50 fhgd
22:50 logi_cal
22:48 Free Radical
22:45 USN, Ret.
22:43 cingold
22:40 JosephMendiola









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