Posts By: Deep Throat

By on October 4, 2008

WASHINGTON (MarketWatch) — The U.S. recession will be “significantly deeper” than they previously thought, Goldman Sachs economists predicted Friday in a research note. The economy will probably show no growth at all between the middle of 2008 and the middle of 2009, with gross domestic product falling 2% this quarter and 1% next, they said. Two other quarters will show 0% GDP growth. The unemployment rate will likely rise to 8% by the end of next year from 6.1% currently. “We now also see at least another 100 basis points of monetary easing from the Federal Reserve, aggressive measures to stabilize the money markets, and a possible further easing of fiscal policy under a new administration,” wrote Jan Hatzius and his team of economists.

By on May 9, 2008

deluca-buick-pontiac-gmc-si.jpgIf GM keeps all its brands and most of its vehicles, there is no road map to longer term success. In the end, there just isn't enough money or market share to justify or support The General's North American operations as they exist today– even in their downsized, strike-afflicted form. At some point, preferably ten years ago, GM needs wholesale consolidation to focus on three brands: Chevy, Caddy, and Saturn. Everything else is superfluous. The problem at the RenCen: they can't figure out how to shed brands/products. Alan Mulally has shown the way Fordward, but he's dismembering recently purchased assets. GM's decades old "damaged" brands can't be sold individually, and can't be terminated. Short of C11, GM's going to have to bite the bullet and tell its BPG (Buick, Pontiac, GMC) AND Saab and Hummer dealers that the corporate mothership will honor existing franchise agreements  until they expire, but they will not be renewed. Sure, it'll be the letter that'll launch a thousand lawsuits. But there's no other way for GM to survive in NA. None. 

Recent Comments

  • Re: Thank You And Goodbye (Sort Of)

    Timothy - Damn! This is depressing news on a Wednesday. Best of luck in the new ventures, Jack. I will pick up a subscription to R&T to keep on reading your wonderful...
  • Re: Thank You And Goodbye (Sort Of)

    Thomas Kreutzer - Like everyone else, I’ll miss you. I’ve always enjoyed your writing and have done my best to emulate it. Hopefully you’ve been suitably...
  • Re: Thank You And Goodbye (Sort Of)

    Jack Baruth - Oh man, I apologize for that, I usually try to lay off the… wait for it… readers’ rides. :) I’m definitely hoping to run Lime Rock...
  • Re: Review: 2015 Chevrolet Malibu Eco LS

    PonchoIndian - If any of you guys who are so quick to run your mouth (or type your undeveloped thoughts) so quickly bothered to remain open minded you’d know...
  • Re: Junkyard Find: 1959 DeSoto

    CoreyDL - You summed up my console feelings very very accurately. Save a couple hundred bucks and get a next gen when you have something to PLAY on it. There tend to be QC...
  • Re: Thank You And Goodbye (Sort Of)

    wolfinator - Good luck, Jack. I will just echo others in saying – you saved this site. I’m a daily reader since the early Ed N. days, and I was about to write...
  • Re: Thank You And Goodbye (Sort Of)

    VoGo - This is the point in the conversation when someone from VerticalScope pens an article informing us of the change, and reassuring us that TTAC will continue. Perhaps...
  • Re: Thank You And Goodbye (Sort Of)

    ScottE5 - Thanks for making this place a destination. You’ve got me hooked with your R&T gig. I shall follow wherever you go.
  • Re: BMW Unveils $6,500 Suitcase-Size EV Charger

    FormerFF - I don’t think you do. The BMW suitcase charger is an SAE spec rapid DC charger. The equivalent in the Tesla world is the on the groumd hardware...
  • Re: Versatile 2015 Mercedes Vito Van Puts Power To Front, Rear Or All

    PrincipalDan - Good lord, guys, it was a simple mistake. I did take notice when the guys at American Pickers picked up a Transit (local...

New Car Research

Get a Free Dealer Quote

Staff

  • Authors

  • Brendan McAleer, Canada
  • Marcelo De Vasconcellos, Brazil
  • Matthias Gasnier, Australia
  • Tycho de Feyter, China
  • W. Christian 'Mental' Ward, Abu Dhabi
  • Mark Stevenson, Canada
  • Faisal Ali Khan, India