GM: Bankruptcy Not an Option
“Clearly we face unprecedented challenges related to uncertainty in the financial markets globally and weakening economic fundamentals in many key markets,” GM said in a statement on Friday. “But bankruptcy protection is not an option GM is considering. Bankruptcy would not be in the interests of our employees, stockholders, suppliers or customers.” Yes, well, Barclays analyst Brian Johnson wrote a note to investors yesterday. According to CNBC, Johnson estimated that GM would need to raise $10.3 billion to maintain liquidity of $14 billion through 2009. That figure was up from his earlier estimate that put GM’s cash-raising need at $7.3 billion over the same period.” But hey, what’s $3b between friends? Meamwhile, pressure continues to build on GM CEO Rick Wagoner and the otyher executives holed-up in GM’s RenCen bunker. After Standard & Poor’s put GM’s on Credit Watch, an the automaker’s share price dove to $4, S&P analyst Robert Schulz told Bloomberg Television this morning that the automaker may be forced to seek protection from creditors. “Macro factors could overwhelm them at some point.”
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As the successor to Baghdad Bob, we now have RenCen Rick!
I'll take Complacency for 100, Alex.
As it happens, I'm listening to Steely Dan... Are you with me Doctor Wu? Are you really just a shadow Of the man that I once knew? Are you crazy, are you high? Or just an ordinary guy? Have you done all you can do? Are you with me Doctor...?
Bankruptcy is not an option. However, shutting down all north american operations, and selling Opel and Buick to the chinese IS an option. Maybe keep Holden?