GM’s devil’s bargain (Still stuck with Uncle Sam)

NY Post ^ | september 19, 2012 | Charles Gasparino

[lowbridge]

The Obama campaign raves about how it “saved the auto industry” — that is, the government’s bailout mainly of General Motors — and so preserved millions of jobs.

But if it was such a success, why is the bailout losing so much money — and why do current GM managers want nothing to do with Washington as they try to save the company?

The answer: They know that with the lefties in the Obama administration breathing down their necks, their chances of ever restoring GM to its past glory are anywhere from slim to none.

Of course, it’s hard to feel sorry for GM’s management, which news reports and my own sources say has been prodding the administration to sell off its remaining 26.5 percent stake in the company. GM’s bosses invited Uncle Sam in — tough luck for them that he doesn’t want to leave.

[SandRat]

GM now means Government Mooch.

[Gaffer]

GM vehicle for me? NEVER AGAIN. They can choke on them.

[EGPWS]

GM vehicle for me? NEVER AGAIN. They can choke on them.

Although I love my Jeep Limited I will never buy anything again associated with the UAW!

No more supporting dimocrats with my purchases let alone some $70/hr pot head assembling them! (I know not all of them are)

[Iron Munro]

Old Obama Slogan:

Bin Laden Is Dead - GM Is Alive

Updated Obama Slogan:

Ambassador Chris Stevens Is Dead And GM Is On Life Support Until After The Election

[Iron Munro]

why do current GM managers want nothing to do with Washington as they try to save the company?

Because GM is in big financial trouble and needs to have a massive layoff to bring employment down to match lagging sales.

But the Obama administration has been stopping them from implementing a layoff.

A layoff would ruin the narrative of a successful turnaround and would upset the UAW - all that just before the election.

[Venturer]

It costs GM a loss of $40,000 for each Volt they make. They want to dump it and Obama won’t let them.

That’s my opinion.

[Caipirabob]

their chances of ever restoring GM to its past glory are anywhere from slim to none.

Agreed - piss off, Nazis!

[LibertarianLiz]

Because GM is in big financial trouble and needs to have a massive layoff to bring employment down to match lagging sales

I believe I read a week or two ago that GM is heading for another bancruptcy. They are not sure whether they can hold it off til after the election.

Now, there would be an "October surprise" that I could get behind!

Okay, re-reading that, I find that I seem to be gloating or something. I am not happy about anyone losing their job; however, Obama did great violence to the law when he "arranged" a whole new type of bancruptcy that benefited his friends in the unions. So, I just can't help but feel good about him being hoisted on his own petard. And, if it comes just before the election, so much the better.

[ClayinVA]

All of the big 3 are beating their suppliers to death with nitpicking on quality standards right now and high order volumes. Not too sure what has been going on, but they have stuffing the sales channel with vehicles, nobody can be buying this many cars and trucks. The warning lights are on for the 4th Quarter, Europe is a disaster and sales are supposed to weaken, so companies are going to try to reduce expenses.