This is what happens when Gubmint helps

[Superman]

http://www.thestreet.com/story/1271...-avoid-bankruptcy.html?puc=yahoo&cm_ven=YAHOO

GM Needs to Do This Now to Avoid Bankruptcy
BY Bret Kenwell| 05/22/14 - 10:06 AM EDT


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NEW YORK (TheStreet) -- After a relatively quiet period for several weeks, General Motors (GM_) has once again rattled investors with more bad news. Let's highlight what's been going on and what we've covered here at TheStreet:

May 15: GM recalls 2.7 million vehicles and takes a $200 million charge. Year-to-date recalls total 11.1 million vehicles. We said, Seriously General Motors -- These Recalls Are a Disgrace.

May 16: GM receives the maximum fine from the Department of Transportation for its handling over the ignition switch recall. Fine totals $35 million.

May 20: GM recalls 2.4 million vehicles and takes an additional $200 million charge. Year-to-date recalls total 13.6 million vehicles. We said, Latest Recalls add to GM's Woes.



May 21: GM recalls an additional 218,000 vehicles.

Oy vey.

From the beginning, I have been saying it looks like GM's stock is headed toward the $30 to $32 range. It closed as low as $31.93, before rebounding back to around $35. After settling down for a few weeks, the stock has started to crack and looks as if it could be headed lower once again. On Thursday morning, it was trading at $33.61, up 15 cents.

Year-to-date charges have eclipsed $2.4 billion and we're not even halfway through 2014 yet. The company's reputation is taking a beating in the investing community, and the more I talk to everyday people, the more I realize that so is the automaker's public perception.

Although sales have yet to feel the pinch -- April sales rose 6.9%, it may be only a matter of time before U.S. consumers collectively shake their heads in disappointment and open their wallets to Ford (F_), Chrysler, Toyota Motors (TM_) and others.

Why shouldn't they?

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Wasn't GM perilously close to bankruptcy previously? Bomma stepped in and swung federal crank around and the company turned around, right?

 

[Roy92040]

Then they become entitled. You know that when you bail out GM then you have to bail out Detroit. There is no end to the Government tit.

 

[xjx]

GM took their stimulus money and is investing 4 billion in china! Yes...I said china!

Why doesn't to united auto workers care? Why aren't Americans concerned that our tax dollars that were supposed to " bail out" GM are being spent in China to build plants and cars and employ Chinese workers?

 

[xjx]

GM took their stimulus money and is investing 4 billion in china! Yes...I said china!

Why doesn't the united auto workers care? Why aren't Americans concerned that our tax dollars that were supposed to " bail out" GM are being spent in China to build plants and cars and employ Chinese workers?

 

[xjx]

Americans are stupid.

 

[hamster]

After the criminal handling of the ignition switch problem, I will never buy another GM product. Dealer service departments had to have known about the issues, and deserve some liability here, as well.

If GM goes away, I will not shed a tear.

 

[Confluence]

GM has now recalled more vehicles than they have produced since they got bailed out. Nice.

 

[ark steel]

Well, the issues are for cars built before the Gubmint takever, for the most part, it seems.

Regardless of that, this is why you don't have the Gubmint take over a private company. When you fine the company for **** that happened before, you are only fining the tax payers who had nothing to do with it. At least, I don't think the Gubmint has divested its shares, yet.

 

[Ron Burgundy]

GM took their stimulus money and is investing 4 billion in china! Yes...I said china!

Why doesn't to united auto workers care? Why aren't Americans concerned that our tax dollars that were supposed to " bail out" GM are being spent in China to build plants and cars and employ Chinese workers?

'Cause Bomma is a Democrat. If we had a Republican President they'd be all over it.

 

[Ron Burgundy]

Well, the issues are for cars built before the Gubmint takever, for the most part, it seems.

Regardless of that, this is why you don't have the Gubmint take over a private company. When you fine the company for **** that happened before, you are only fining the tax payers who had nothing to do with it. At least, I don't think the Gubmint has divested its shares, yet.

Look up British Leyland and see how it worked out for the Brits in the 70's and 80's. The Top Gear episode on British Leyland (it's on YouTube) is comedy gold.

 

[Vader]

The GM bailout was illegal and shouldn't have been allowed. The President destroyed contracts and gave preference to the UAW and screwed bondholders and secure creditors. They ****** over Delphi which were non-union workers and gave over a BILLION dollars to sure up the pensions of the UAW. It was a union pay back and a royal ******* to the non-union workers. He should have been stopped by the courts but he was allowed to destroy the contract rules and basically be a king doing whatever the **** he wanted including firing the head of GM.

 

[ark steel]

The GM bailout was illegal and shouldn't have been allowed. The President destroyed contracts and gave preference to the UAW and screwed bondholders and secure creditors. They ****** over Delphi which were non-union workers and gave over a BILLION dollars to sure up the pensions of the UAW. It was a union pay back and a royal ******* to the non-union workers. He should have been stopped by the courts but he was allowed to destroy the contract rules and basically be a king doing whatever the **** he wanted including firing the head of GM.

21 will be along to set you straight.

 

[Ron Burgundy]

21 will be along to set you straight.

Vader is obviously racist and hating on our wonderfully moderate FBP.

 

[Vader]

21 will be along to set you straight.

I can't wait. Maybe he'll tell me how great BHO is as a president and leader?

Vader is obviously racist and hating on our wonderfully moderate FBP.

HAHA I've been called worse.... someone called me a democrat once..

 

[Ron Burgundy]

I can't wait. Maybe he'll tell me how great BHO is as a president and leader?



HAHA I've been called worse.... someone called me a democrat once..

Don't you know that the Democrats are the Party Of The Little Guy and only want what is best for you? They know what is best for you, you know.