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To: stephenjohnbanker

Is that really what’s happening? China is buying assets which will then boost GM’s pension fund. The fund really won’t change hands, will it?


12 posted on 07/20/2012 6:20:17 PM PDT by madison10
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To: madison10

China is buying many US companies through various back doors. This way, they don’t need any government approvals over here.


14 posted on 07/20/2012 6:25:11 PM PDT by stephenjohnbanker (God, family, country, mom, apple pie, the girl next door and a Ford F250 to pull my boat.)
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To: madison10
No, this is what I think is going on...

* Buy-out options offered to employees ( see post 8), They will get rid of all this liability, where as Ford still would carry some with their plan.
* Sell assets in Pension Plan to Payout either in Cash or to buy an Annuity or Annuity w/ survior benefits.
* The Liability is then eliminated by paying out in Cash ( all Liability to invest is w/ the Retiree) or the purchasing of an Annunity Contract of which GM has no Liability, the contract is then between Retiree and Prudential.

But GM needs cash to do these options, ergo sell these "funds" to do it, to the Chinese...

15 posted on 07/20/2012 6:28:33 PM PDT by taildragger (( Palin / Mulally 2012 ))
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