Comments on: GM to Loan Delphi $2.8b

By: Bunter1

Bunter1 — Thu, 06 Mar 2008 17:23:22 +0000

This looks like two winos trying to pool their rescources to get one last bottle.

By: Landcrusher

Landcrusher — Thu, 06 Mar 2008 17:17:55 +0000

Gratz jojo.

Business in Michigan is just ugly. Fugly even.

I have never shorted anything, but GM is looking like a really ripe target.

By: OverheadCam9000

OverheadCam9000 — Thu, 06 Mar 2008 16:55:10 +0000

As an aside, this from the newswires:
“British Carlyle Unit Gets Default Notice”

One of Carlyle Group’s (hedge fund operator) overseas units has been hit with massive margin calls from their bankers.

Response:
Freeze all redemptions UFN! “Sorry Mr. Buffett, you will not be able to withdraw your money until the fund manager allows it….”

While Appaloosa is not Carlyle, this is a very, very bad sign.

RF, the GM Death Watch may be nearing resolution.
Don your nuclear blast resistant goggles NOW.

By: ihatetrees

ihatetrees — Thu, 06 Mar 2008 16:20:07 +0000

The lead investor, Appaloosa Management, claims the loans are “contrary to Delphi’s stated goal of reducing its reliance on and exposure to GM and developing relationships with other (automakers).”

Given the chaos involved here, would any of the transplants want such a relationship?

And it doesn’t stop at Delphi. I feel sorry for the American Axle sales guy who calls on the Tundra plant.

By: Johnson

Johnson — Thu, 06 Mar 2008 16:13:11 +0000

GM has some massive debt to contend with, and for them to get any new loans at this point is really tough due to their credit rating.

I’m puzzled as to exactly from where is GM “loaning” this 2.8B from? Is GM taking money directly out of it’s piggy bank for this?

By: Stein X Leikanger

Stein X Leikanger — Thu, 06 Mar 2008 14:50:16 +0000

Adding a little reference here.
2.8billion. That’s a lot of money.

Let’s say you counted one number each second, from 1 to 2.800.000.000
That’s hard, as onebilliontwohundredandeightysevenmillionsixsixhundredand eightytwothousandandfiftyfour — takes a bit longer than a second to say. But for the sake of argument – one number per second as you’re counting.

It would take you north of 88 years to complete that, without pause for food or sleep.

GM management must hate the very mention of Toyota.

By: olddavid

olddavid — Thu, 06 Mar 2008 14:25:13 +0000

Wow. Has that divestiture of their in-house suppliers been a rousing success, or what? The extra savings that a more competitive supplier chain has, I’m sure, got the acolytes lining up in support. Oh, wait. What’s that sound? Complete silence, as they are all in monkey-see, monkey do phase now. Complete with the hands over the ears, eyes and mouth. Now THAT is an appropriate metaphor for the whole ill-timed,ill- though out and poorly executed plan. Besides, efficiency wasn’t the goal of that whole op , anyway. What was it then, you ask? Why, executive bonuses, of course, grasshopper! And you guys think I’ve lost a step. Well, actually I have, but with RF feeding me these soft balls, my sister could hit it out of the park. Come on guys—get back in the damn game. You’re bordering on sycophant status- even the Republicans think so. Therefore, by their logic, say it enough times and it becomes true by default. Why let those pesky facts get in the way? Didn’t all you guys take business ethics as an extension course from Falwell’s Liberty University? That bastion of true liberal critical thinking, brought to you by the book that says the world is 7,000 years old. Hey, good luck on that, fellas. Hell, you might be able to create a whole new branch of science- Backed up by the” ubiquitous” God has spoken” mantra. Meantime, it seems there must be a helluva market for fiddles to play while Rome burns.I could do better. Thats just frighteningly sad and or scary- your pick.

By: jolo

jolo — Thu, 06 Mar 2008 14:24:53 +0000

Did I call it?