Discussion in 'OT Driven' started by psykosis, Dec 5, 2008.
Cerberus seems to want nothing to do with Chrysler...
Chrysler is the only one of the big 3 I could see failing
this is probably just a PR move to scare congress into handing over $$$
I dunno. GM is in a fucking world of shit. Ford is bad, but GM is on its last breath.
I heard today on a news program that the collective value of all three manufacturers is about $12B. So a $34B loan is near 3x more than the value. How does this make sense?
I dunno that congress gives a shit. It has become clear that the people in charge of the companies are not willing to make the drastic changes to their companies and their business models to adapt to the new markets.
i dont know that they do either, but the op was talking about what chrysler did, so i was commenting on a possible reason for what they did
It's certainly possible I guess...
Without the UAW Id think GMC would be doing pretty well right now. Theyre the only company that actually has numerous cars to compete with various classes against the foreign competitors
placing a value on a company in terms of market cap or cash on hand isnt quite a full telling of the story of a company's worth.
"WESTLAKE VILLAGE, Calif.: 6 June 2007 — Ford Motor Company garners five top model segment awards—more than any other automobile corporation this year, according to the J.D. Power and Associates 2007 Initial Quality StudySM (IQS) released today."
They would be in a much better position, but they need to find a way to cut the benefits paid to retired employees. I hate to take money away from those people, but that is money paid that has 0 benefit to the company at this time. They don't need to fully cut the benefits, but they do need to be scaled WAY back.
True enough, true enough...
Wonder what law firm they hired? I'm thinking McKee, Sidley or Thatcher.
They have too many. That is one of their problems...
I preface the following by saying I'm trying to keep up on this, but clearly I don't know everything and I am not in the room, so I can only form my opinions based on the news reports I have access to:
Everything I've read has said that the heads of the manufacturers basically are pleading for money, but the plans they brought to the table are not detailed enough. It was said by one analyst "If you brought one of these business plans before a lending officer at a bank, you would likely be quickly denied any funds." I wish I had the time to find and read the proposals they have submitted, but I simply don't. I can tell you I am VERY interested in what I will hear at the NAIAS next month.
They hired Jones Day.
I didnt say certain brands/cars didnt need to be cut but they have a ton of new vehichles that compete well in their class
People on the law school forums are all flipping out that they went with a firm like Jones Day