Posted on 02/16/2013 7:51:11 AM PST by ExxonPatrolUs
Will he not make the needed fixes to make the company solvent?
Problems with GM (IMHO):
1. Quality. GM have a serious problem with quality. Drove and will continue to drive customers away. No paying customers, no business.
2. Cost of operation. Apparently this was serious enough to drive the company into bankruptcy... before the government came to the rescue. Also, seems to be a risky investment since the stock holders got screwed at the hands of the Feds last time.
GM seems to be huge sink hole without any serious fixes and reorganization. Unless the Feds are willing to guarantee solvency on the backs of taxpayers.
They spent the TARP funds on their debt to the Feds and then claimed that they paid the loan back.
Confused?
Simplified: GM used the money from the Fed TARP program to pay back the Fed bailout loan and claimed it good. Lol.
What a scam!
Contrary to popular perception, Warren Buffett and Berkshire-Hathaway do not alway buy value and hold it forever. They do that when they can buy out entire companies, but they can and do sell their holdings periodically. Buffett and BH are also, in my own opinion, not at all above riding a PC wave when profitable or even furthering certain political objectives via targeted investments.
One need only look at the once fairly impressive holdings of FNM to get something of a glimpse of their thinking in buying GM. Perception of a government backstop? Yep. Something of a political agenda to support? Yep. Fannie Mae was quite a ride for clued in investors due to several legal and regulatory changes that led to a boom.
But, they sold. It wasn’t a forever holding at all.
Look, brother, I’m all for supporting America. Good on ya for supporting it too. But you need to look at things a little closer.
Supporting GM is supporting Obama and his fascist takeover of GM and Chrysler. Supporting Obama and GM is supporting the unions...the reason WHY Obama took over GM & C.
Opposing Obama and Buffett and the unions IS supporting America. I don’t NEED to support America, I AM supporting America. Suggest you join in.
That may be, but there is a limited number of American car plants left, and I say it is time to support American manufacturing.
Period.
Support American jobs. Not German jobs. Not Japanese jobs. Not Korean or Indian or Chinese jobs.
American jobs.
Ford has the best trucks on the market, but you see lots Chevy trucks on the road (as well as Toyota and Ford) with over 300K miles on them. If I was considering a Chevy pickup before the bailout, I sure as hell wouldn’t be now.
I can do both...support American car manufacturing (Ford) and not support Obama. You choose GM and Obama. America loses.
Please turn in your Freeper Card at the front desk as you leave.
No way Jose!
I may not be in lockstep with 100% of Freepers on some things about trade.
In fact I’m pretty sure I am not.
But I’ll be darned if I will walk away from the best darn site on the entire internet.
Bar none.
:D
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