We’ve got the link to GM’s Report Card to the Presidential Task Force on Automobiles. Bankruptcy is no longer that which must not be mentioned. In fact, the official recognition of this inevitability hardly gets a half turn of spin. End of days for Detroit.
Bankruptcy Considerations-In order to be prepared for events possibly precipitating a bankruptcy filing (for example, unsuccessful bond exchange or VEBA negotiations), the Company continues to evaluate its in-court restructuring options as part of contingency planning activities. The Company believes that the impact of a bankruptcy filing on its business would be substantial, on both wholesale (GM to dealers) and retail (GM dealer to customer) levels, as discussed in the February 17 submission.
General Motors continues to strongly believe that out-of-court restructuring provides the highest value outcome for its customers and this country long term. However, if the changes needed for long-term restructuring cannot be obtained out of court, the Company is prepared and would consider in-court options. Such options would be enhanced by the Administration’s commitment to back GM customer warranties, and to provide support for a rapid emergence from any in-court process.
??????
• Chevrolet has launched the all-new Camaro, providing 29 mpg on the highway using GM’s award-winning SIDI V6 engine, with final preparations being made for the launches of the all-new Chevrolet Equinox, GMC Terrain, Buick Lacrosse and Cadillac SRX crossover
General Motors continues to strongly believe that out-of-court restructuring provides the highest value outcome for its customers and this country long term. However, if the changes needed for long-term restructuring cannot be obtained out of court, the Company is prepared and would consider in-court options.
They’re just saying what the auto task force is telling them to say. I wouldn’t be surprised if the task force itself heavily edited and “updated” the report. (GM’s pencil pushers could use the help, apparently.)
They are presenting a unified front to cram down the UAW and the bondholders, as they should. Supposedly, they are trying to pay the bondholders about 15 cents on the dollar, which is much lower and makes a lot more sense that what Bob Corker had proposed in the Congressional hearings.
The administration hasn’t agreed to “back GM’s warranties.” They’ve only agreed to back the warranties on the cars sold during the next two months.
My gut feeling is that C11 is a “done deal” and they are just quacking to reassure the dealers so they will keep selling.
Just a thought.
Bunter
Well, I think that everything is going to be fine… No bankruptc- HEY!
Who’s that fat lady walking on the stage?
How incredible that our federal government has to waste its’ time reviewing how a private company is managing itself.
John
Consumers bemoan owing $32,000 on a $25,000 SUV.
How about a car company, using the same scale, owing $529,000 on $25,000 of net assets?
That is the amount of damage Red Ink did to General Motors in his eight years of terror.
(The above GM values were not calculated from actual SEC financials but from numbers that apper in the MSM and TTAC.)
Chevrolet has launched the all-new Camaro, providing 29 mpg on the highway using GM’s award-winning SIDI V6 engine
I’m truly tired of hearing this.
Does anyone really care about the Camaro’s mileage? I mean, really? The Aveo and Cobalt, sure. The Malibu, yes. Even the Lambdas, probably.
But the Camaro? Does anyone buying a overstyled sports coupe care at all that it gets one or two more miles per gallon on the highway? Will that make or break the decision? Three hundred horsepower in a car that costs about as much as a Civic Si is something to brag about (yet isn’t spoken much, oddly), but it’s mileage?
But the Camaro? Does anyone buying a overstyled sports coupe care at all that it gets one or two more miles per gallon on the highway? Will that make or break the decision? Three hundred horsepower in a car that costs about as much as a Civic Si is something to brag about (yet isn’t spoken much, oddly), but it’s mileage?
This is just typical Detroit Knee Jerkery. We can’t say that the Camaro is a desireable sports car, because Tom Friedman over at the Times would complain… EVERY car has to now be the solution to global warming (cough, cough).
The Fiero was crippled because some of the company was designing a proper sports car, but the bean counters were told it was a commuter car, so the mechanicals spec’d were the lowest of GM lowball.
When Golden Age I passed, suddenly The Trans Am had “a few T/A motors stashed away” but they were not making them (?) (who are you, Mad Max’s Boss ?)
We (speaking for the entire nation here) still need larger vehicles, trucks, and sometimes a car that is not an Aveo sans radio and A/C.
It’s a shame we can’t just call it a really cool car and call it a day.
Three hundred horsepower in a car that costs about as much as a Civic Si is something to brag about (yet isn’t spoken much, oddly), but it’s mileage?
Camaro compares very favorably with the Civic Si: 300hp vs 200hp; 270ftlb torque vs 140ftlb; same base price; same highway fuel economy.
The first print ad I saw for Camaro featured an awkward photograph of the car and a rambling essay about GM’s global product development. Really?!
What gets me is the V8 gets 24 mpg.(For roughly $10,000 more…) The Camaro is the antithesis of what the Obama Administration and the liberal left want in an automobile.
Hopefully, I will be able to pick up a 2SS fairly cheap in a few years… =D
The whole report reads like a fairy tale, until you look at the numbers. Especially the table in APPENDIX B. GMNA Market Share is 20.7% as of March 09. Wasn’t the goal 29% back in the day?
What a joke….
This is just typical Detroit Knee Jerkery. We can’t say that the Camaro is a desireable sports car, because Tom Friedman over at the Times would complain… EVERY car has to now be the solution to global warming (cough, cough).
You are, of course, correct, but it points to some serious cluelessness in GM Marketing. This is a Camaro, otherwise known as “The Car Most Likely to Yell ‘Vaffanculo!‘”. Mileage is not really on the table, and Tom Friedman probably doesn’t car.
This is also the same thinking that resulted in the Tahoe Hybrid.
Side: I am an avowed Greenie, and I really don’t have a problem with the Camaro because it’d be sold to people who are, quite frankly, lost causes (unless they were planning to add CNG kits or somesuch). What I do have issues with is GM paying lip-service to the green movement by pushing Flex-Fuel, mild hybrids and unobtainium like the Volt.
GM plans almost no improvement in MPG until 2013.
In the attached report it reads: MPG for cars/trucks of 31.2/23.2 in 2009 and 33.4/23.0 in 2012.
And some (maybe most) of the improvement is due to bogus flexfuel credits.
The public clearly desires good fuel economy (as long as it’s reasonably affordable) and GM will be stagnant on this front for the next 4 years.
It will be interesting to see them try to stay outside bankruptcy court while trying to favor the unions over other parties.
The three elephants in the room are the dealers, the suppliers and the unions. Bankruptcy is the only way to break holds held by all three.
Unions are going to face the music, no question about it. The song is one the rest of us have heard for years.
Dealers are too many and they all plan to hide behind state protection laws. This will be messy. See Oldsmobile shutdown for a preview.
Suppliers of parts might actually have the best hand since they also supply the transplants and many are flexible enough to make anything. A great deal are owed money by the detroit 3 and will not survive. But these shops, including the union shops, represent value to the transplants and will probably get a lot of attention. Look to see them bought up first.
This all is necessary to realign what has become a real mess in this country. We either fix these relationships by ending them or pour billions of dollars down the drain.
Saw in the news this morn that the Boston Globe union employees have considered going on strike. They are reporting that they will take pay and benefit cuts if the management will…
THIS is what the UAW ought to be doing right now. That way they all still have a job in five years.
American industry – WAKE UP! You will be out done by the other countries in short order…