CAR Official: GM's Restructuring Plan For Long Term Viability.

Small Block LSX

BMW | N54 | LSX | Gun | PS3 | Parent | Night CREW
Jul 15, 2006
35,415
Twin Cities, MN
Here it is folks, the .PDF file submitted to Congress.

http://www.gm-volt.com/g/gm_plan.pdf

A few highlights; both good and bad:

1. $103B spent over the past 15 years on legacy costs. Legacy costs are paying heathcare and pension funds for retired GM workers.
2. Executives will reduce their yearly salary to $1/yr with no 2008-2009 bonuses.
3. Company will save approximately $5B/yr starting in January 2010 due to moving legacy costs into private trust fund for retirees.
4. GM just finally realized that the 6-speed automatic can greatly improve fuel economy overall. How did they not grasp this concept with the powerful 6-speed Corvettes and Fbodies?
5. Average hourly employee makes $45-$50/hr on the assembly line. GM wants to reduce this salary to around $25/hr and ramp back up to $45-50/hr by 2012.

Browse through it, it's really worth the read.
 
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Small Block LSX

Small Block LSX

BMW | N54 | LSX | Gun | PS3 | Parent | Night CREW
Jul 15, 2006
35,415
Twin Cities, MN
It is no secret that GM, like all domestic automobile manufacturers, has increasingly struggled over the last several years due to increased competition from foreign manufacturers with lower wage, healthcare and benefit costs (in part, due to having far fewer retirees to support in the U.S., and national healthcare structures in their home countries). GM has spent $103 billion over the last 15 years alone on these legacy costs, constraining investment in more advanced manufacturing and product technologies and significantly weakening the company’s balance sheet.

GM has made mistakes in the past — in now-untenable provisions from prior collective bargaining agreements, and insufficient investment in smaller, more fuel-efficient vehicles for the U.S. Even so, GM still supplies one in five vehicles sold in the U.S. today. In fact, 66 million GM cars and trucks are on this country’s roads today, 44 million more than Toyota.

GM sells cars. Just hard to turn a profit on smaller vehicles under those circumstances.
 
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Small Block LSX

Small Block LSX

BMW | N54 | LSX | Gun | PS3 | Parent | Night CREW
Jul 15, 2006
35,415
Twin Cities, MN
i love congress asking for business plans like they have any fuckin idea what they are looking at :bowrofl:

:werd:

Looks like GM hired some college kids to write that business plan. Not because they don't have the talent to do so, but they need to dummy it down for our elected officials.

:rofl:
 
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Small Block LSX

Small Block LSX

BMW | N54 | LSX | Gun | PS3 | Parent | Night CREW
Jul 15, 2006
35,415
Twin Cities, MN
interesting, thanks

and is that a typo??

execs will get ONE DOLLAR PER YEAR as an official salary with no bonuses??

NO TYPO. It says it in their buisiness plan. ONE FUCKING DOLLAR per year. All BIG 3 automaker executives have accepted this. The top 4 executives from each automaker to be exact.

This isn't the first time this happened. Lee Iacocca did this during the 80s.
 
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Small Block LSX

Small Block LSX

BMW | N54 | LSX | Gun | PS3 | Parent | Night CREW
Jul 15, 2006
35,415
Twin Cities, MN
Seriously guys, it's an easy read. I went through it in like 10-15 minutes. Instead of listening to ill-informed Americans read what they have to say and what they are offering. It's good to hear it directly from them.

Drop down dealership network, talking about shit canning Hummer for good any other ideas.
 

SquirtRussel

OT Supporter
Oct 8, 2004
35,121
San Francisco
NO TYPO. It says it in their buisiness plan. ONE FUCKING DOLLAR per year. All BIG 3 automaker executives have accepted this. The top 4 executives from each automaker to be exact.

This isn't the first time this happened. Lee Iacocca did this during the 80s.
well im sure they have a shitload of money to live off of and can put any travel expenses on the company account... so

:dunno:
 
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Small Block LSX

Small Block LSX

BMW | N54 | LSX | Gun | PS3 | Parent | Night CREW
Jul 15, 2006
35,415
Twin Cities, MN
well im sure they have a shitload of money to live off of and can put any travel expenses on the company account... so

:dunno:

Well, obviously they do. They made over $14M last year. They can take a pay cut for a few years. Now, they will most likely give themselves HUGE bonuses in 2010-2012 if they do infact turn their business around and become profitable again - or at least I would imagine so.
 

SquirtRussel

OT Supporter
Oct 8, 2004
35,121
San Francisco
well i like that theyre trying to pay factory workers a realistic wage.. at least for a few years...

should go back up to 45/hr so quickly though
 

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