Comments on: GMAC Delays Debt Swap Deliveries. Again.

By: porschespeed

porschespeed — Thu, 18 Dec 2008 06:30:22 +0000

This company’s dead.

No it’s not. It’s just shutting down for a few weeks to equalize the sales chain.

No. It’s got no money. No pulse. It’s dead I tell you…

Though I imagine this thread will get about the same amount of traffic as a Chrysler showroom here’s the new wrinkle…

WSJ and some rumblings I’ve heard say that GM and Cerberus are talking again. Guess what the pivot point in the circle-jerk is? C’mon guess…

GMAC. So Cerberus still sees the GMAC end-game as in play. A ‘combined’ GM/Chrysler would provide the political cover for ’someone’ to fund ResCap to the point where GMAC becomes a ‘bank’.

Voila! The angry puppy gets fed.

By: argentla

argentla — Thu, 18 Dec 2008 02:18:51 +0000

@ no_slushbox: Brilliance!

By: porschespeed

porschespeed — Wed, 17 Dec 2008 22:33:01 +0000

no_slushbox,

You read my mind.

Like the twisted comic book that it is.

“Bring me a bucket…”

By: no_slushbox

no_slushbox — Wed, 17 Dec 2008 19:32:51 +0000

porschespeed:

I think you’ve just identified the Wagoner, Lutz, LaNeve brand/dealer management theme song:

“Every brand is sacred,
every brand is great.
If a brand gets wasted
God gets quite irate.

Every brand is sacred,
every brand is good.
Every brand is needed,
in your neighborhood.”

By: porschespeed

porschespeed — Wed, 17 Dec 2008 18:40:00 +0000

In the end, it always depends on who likes you and who doesn’t.

ResCap could get funded today, if there’s a bank (already flush with bailout money) that sees some ROI in grabbing the percentage that Cerberus doesn’t already own.

The millstone may be the blatant Cerberus connection.

It’s already a political nightmare to be lumping private Chrysler in with pubic F and GM when talking bailout.

Treasury could easily make a few calls to one of the many banks that have been gifted out of the 700B (or loaned out of the 2T that few talk about) and make that deal happen.

Problem is, the benefit to Cerberus would be just too direct and just too public to swept under the rug with the rest of this giveaway.

The other angle is that killing GMAC will help eliminate the dealer overage in an expeditious manner. Forcing change on some companies that just can’t seem to do anything beyond pay it lipservice.

“Sorry kids. No more work at the mill. Gonna have to sell the whole lot of you off for medical experiments.”

By: no_slushbox

no_slushbox — Wed, 17 Dec 2008 18:27:14 +0000

This is a bit old, but I just found it. I was under the impression that GM retained bankruptcy representation just in case of the “worst”, but apparently GM’s bankruptcy representation, Martin Bienenstock of Dewey & LeBoeuf, is actually encouraging a bankruptcy to move GM into the future.

http://www.abajournal.com/news/gm_lawyer_plans_futuristic_restructuring_as_auto_bailout_fails/

http://www.bloomberg.com/apps/news?pid=20601087&sid=a27ys4bkgADQ&refer=home