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GM chairman Richard Wagner posted a message on the companys internal web site.There is absolutly no plan strategy or intention for GM to file for bankruptcy Wagner said in a letter to employes November 18.
 

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dave clancy said:
GM chairman Richard Wagner posted a message on the companys internal web site.There is absolutly no plan strategy or intention for GM to file for bankruptcy Wagner said in a letter to employes November 18.
And when you think about it, it makes perfect sense. There are some positive signs for GM. If they went into bankruptcy at this point in time, they could take an enormous hit in sales, because many people equate bankruptcy with going out of business soon. Obviously not the truth, but sometimes perception is more powerful than truth!
 

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Editguy said:
And when you think about it, it makes perfect sense. There are some positive signs for GM. If they went into bankruptcy at this point in time, they could take an enormous hit in sales, because many people equate bankruptcy with going out of business soon. Obviously not the truth, but sometimes perception is more powerful than truth!
:agree: It would hurt the companys image
 

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Of course he is going to say that. He is the CEO, he cannot concede they will be bankrupt before they would absolutely have to, whether or not it was imminent.

That said, with 19 billion in cash on hand, I am not sure GM is on the brink. But that is just my opinion, which in this situation probably isn't worth too much since I have no idea how quickly they would water through that cash in the event of something like a Delphi strike.
 

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Fformula88 said:
Of course he is going to say that. He is the CEO, he cannot concede they will be bankrupt before they would absolutely have to, whether or not it was imminent.

That said, with 19 billion in cash on hand, I am not sure GM is on the brink. But that is just my opinion, which in this situation probably isn't worth too much since I have no idea how quickly they would water through that cash in the event of something like a Delphi strike.

Correction, that would be 16 billion. They just LOST 3 billion this year.
 

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82-T/A said:
Correction, that would be 16 billion. They just LOST 3 billion this year.
No that would be nineteen billion, their losses for this year are already accounted for.
 

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82-T/A said:
Correction, that would be 16 billion. They just LOST 3 billion this year.
Just today USA Today is reporting that GM has $19 billion cash. I assume that means what they have right now.

Their $3 billion loss could also be accounted for in loans or other borrowing too, which would leave them with more debt, but also keep the cash on hand.

http://www.usatoday.com/money/autos/2005-11-22-gm-exec-usat_x.htm

USA Today said:
Instead of being broke, GM has $19 billion in cash to cover losses and buy time for the Wagoner plan — new models better tailored to buyers' wants, lower prices that won't require big rebates, a lower-cost operation overall — to kick in and generate black ink.
Later in the piece, it does mention the losses too

USA Today said:
GM hasn't had those since last year. It lost $3.8 billion the first three quarters this year.
 

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I am just glad to see GM staying out of trouble. Now I want to see GM bring back some of the great powerfull cars that they had back in the day.
 

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g0t_w00t said:
I am just glad to see GM staying out of trouble. Now I want to see GM bring back some of the great powerfull cars that they had back in the day.
I am not sure they are out of trouble yet, but at least they are coming up with a plan. Hopefully it is successful. I too would love to see GM bringing out the best vehicles in every vehicle class, and lead in all possible areas, value, styling, fit and finish, quality, reliability, performance, interior quality, etc. No reason the world's biggest automaker couldn't do it, but they have to get their books in order first.
 

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according to msn news today

i just read something on msn today website.
http://moneycentral.msn.com/content/P136968.asp?GT1=7390
it is very interesting.
http://www.steelworkers-usw.org/uswa/program/content/2552.php
this is something on delphi plus there is an article in the steelabor mag stating something that is very true.
" Our member do not make $63.00 an hour.
As for wages, bingham and shepard said new employees at the Vandalia plant make $8 an hour reaching a top rate of $16.00 an hour. At the chassis plant, workers start at $9 an hour. The "blended" rate at the Dayton plant amounts to about $18 an hour in wages and benefits and $12 an hour in Vandalia."
The unions created packages that have saved millions of dollars to GM and Delphi in legacy cost,health care costs and wage.
despite the sacrifices made by members neither GM or Delphi delivered the promised jobs. Instead sent much of their work to Mexico, South Korea, other foreign countries.
Think the $50.00 job is the programer and tech jobs, but if you deal with management you would realize just how much they will blow things out of proportion (sp). I wonder if the ones taking inflated bonuses say they are contributing to their going bankrupt. I think Not.
 
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