[Lurker]

Anyone buying these bonds is a moron. Any CFP recommending them should be stripped of their license.

L

[sparklite2]

Back in the 70s (?) when US car makers got Congress to slap import restrictions on foreign cars, GM jacked up their prices and caved to the UAW while issuing huge bonuses to their managers. I swore then, nearly fifty years ago, never to buy another GM car, and I haven’t. Anyone buying bonds, and certainly equity, in this gigantic Pension Plan that makes cars, may as well burn the money for warmth.

[sickoflibs]

Sounds like a GREAT investment!

[ldish]

Haven’t they been bought by some foreign conglomeration and aren’t they moving mush of their production to china...give me a reason to let them screw me again!

[dhs12345]

Hey, maybe they finally ran out of TARP money.

This situation was predictable since they were not obligated to fix the issues that caused the bankruptcy in the first place.

Why? Because the government bailed them out and the tough cost cutting, quality improvement decisions were not made that make the company viable and competitive again.

[Mase]

GM is a benefits company that happens to make cars.

[taildragger]

Their is a lot going on this arena, some breaking today, (i.e. what Ford is doing w/ their pension plan) links below.

Key words "De-Risking", "Mark to Market" & Pension Buyouts.

Ford on Buyouts: http://en.terra.com/news/news/exclusive_ford_readies_first_set_of_landmark_pension_buyouts/act481007

Ford "Mark to Market": http://www.pionline.com/article/20160107/ONLINE/160109913/ford-moves-to-mark-to-market-accounting-for-pension-funds

Ford and GM Pension Liabilities Compared with some great graphs: http://www.pionline.com/article/20160107/ONLINE/160109913/ford-moves-to-mark-to-market-accounting-for-pension-funds

[Texas resident]

Back when GM stiffed the bondholders, the Atty General of Indiana filed a class action suit against GM for the benefit of the bondholders. Does anyone know what ever happened with that lawsuit, or was it deep sixed?

I remember at the time, the bondholders had a good case against GM, but that was after the dimrats took over and laws are what they say they are. Seems to me that that was a huge breach of contract case.

[blueunicorn6]

And then we’ll have The New, New GM!

And the taxpayers will get screwed again while the union workers take another vacation paid for by the taxpayers.

Screw the Democrat Party and anyone who calls them self a Democrat.

[PGalt]

Thanks for posting. Debt for everyone. Too Big To Fail. Marxist meme. Socialism Is Legal Plunder - Bastiat