Good Bye Detroit: The Final Nail in Big 3's Coffin

[EXreaction]

Quote:

Originally Posted by MTAtech

When it begins, I want to have American car companies around.

Whether or not our current car manufacturers survive has nothing to do with the american auto industry.

If they die, some other will replace them.

[Toadman]

Quote:

I was against bailing out Chrysler in the early 1980s. Back then, I believed much as you, TRB. I was wrong. Bailing out Chrysler was good for everyone including the government, who cashed in valuable stock options. If bailing out GM and Ford can get 25 years out of these companies, it's well worth it.

Worth it to whom?

Well there you go! The United States Government is heavily invested in the private sector for revenue beyond taxation. I love it when it's blatantly admitted and appreciate not hiding it. Let's just nationalize the banking industry and get it over with.

[GroundZero3]

Nine Bailout Surprises from GM and Chrysler -- Seeking Alpha

[Toadman]

Quote:

Both need way more money than previously acknowledged. GM says it expects to burn an astounding $18 billion in cash in 2009, one reason it may need a total of $30 billion from the government by 2011. Chrysler says it will have to declare bankruptcy by March 31 if it doesn’t get an extra $11 billion in government aid, for a total of more than $15 billion. At this point, it seems prudent to assume that they’ll need billions more after that.

Quote:

You can kiss your money goodbye. Chrysler’s plan says that if the firm is forced to liquidate, “first-lien” lenders would get back about 25 percent of their money, while the lowly American taxpayer would only get back about 5 percent of the $4 billion they’ve already given Chrysler. So in less than three months Chrysler has devoured its first round of bailout money, and we can’t expect to get it back unless we dole out more money. Now there’s a deal you couldn’t possibly refuse. Or accept, for that matter.