Comments on: Bailout Watch 19: When do we want it? NOW!

By: 210delray

210delray — Tue, 02 Sep 2008 01:06:10 +0000

I didn’t realize the good senator was so (ahem) plump.

By: fred diesel

fred diesel — Mon, 01 Sep 2008 17:35:41 +0000

Automakers and suppliers are almost the next few months problem. How ’bout virtually every dealer with way too much unsellable/leasable inventory? And the floor plan and other expenses? This is certain to turn into a clusterf of much bigger proportions than just Detroits small 3.

By: mel23

mel23 — Mon, 01 Sep 2008 15:33:24 +0000

There seems little doubt that they’ll get it, and equally little doubt about the long term benefit; as in none at least in the case of GM. Kind of like pouring water into a barrel with no bottom. So all we can do is watch the show. Relative to the dismal possibilities, a moderately positive outcome would be that the Chinese, or maybe an Indian company, buys the 2.8 before the number of bailout cycles gets to double digits.

I suppose the absolute best case is that Ford becomes profitable after the first cycle and thus demonstrates that GM management isn’t worth further effort. But Mulally has only 3 years or so before retirement which isn’t much time to flush out a rotten system.

By: mpc220

mpc220 — Mon, 01 Sep 2008 15:25:24 +0000

How bad must their accountacy department be?

Good question. And how about the auditors? No “going concern” language in the quarterly reports?

By: Cammy Corrigan

Cammy Corrigan — Mon, 01 Sep 2008 14:25:06 +0000

I find this a little (please note the word here) hard to believe.

Let’s run with the hypothesis that detroit have screwed themselves to such a point that they can’t hold out until election time. How bad must their accountacy department be? We’ve already been assured that they have plenty of cash and it should see them through until (you guessed it) 2010 when the panaceas come to market. So what’s changed? Where did they lose about $20 billion?

I reckon they just want to get their hands on that money before public opinion gets heard or there’s a dramatic shift economically.