GM CFO: "It's Fair to Say There's No Crisis Here"
Fair and… mentally balanced? I'm not so sure. But one thing is certain: there's a new spinmeister in town. Speaking with Automotive News [sub], GM Chief Financial Officer Ray Young whirled a mean dervish. "There are reports that we were in crisis," Young said, confusing his tenses. "That's far from the truth. We run a dynamic planning process here, so we're constantly feeling the market. We have a certain view of the United States economy and a view of the oil prices. After the month of June, our assessment of the U.S economy made us realize there's a lot more risk in this economy than we thought initially." D'oh! And then scribe Jamie "I Ain't No Stinkin' Lap Dog" Lareau asks "Will this plan save the corporation?" Whoa, Dude! Or, as Young says, "It's going to allow us to handle a very conservative set of industry assumptions, a very conservative set of mixed assumptions and provide ample liquidity through 2009. We're still working through 2010 plans. To me that's still too far away." If only Toyota thought so short term. Anyway, Young says bankruptcy is "not in the cards" and Car Czar Bob Lutz is playing with a full deck [kidding]. Also, the Beancounter has not been asked to price-up the cost of a brand termination. "I keep on reminding our organization that cash is king. I'm not sure what it would cost to eliminate a channel, but when we closed Oldsmobile that cost $1 billion. That's a lot of money."