GM faces hard road getting compensated for Venezuela factory

ABC News ^ | Apr 20, 2017 | tom krisher and joshua goodman

[detective]

General Motors became the latest corporation to have a factory or other asset seized by the government of Venezuela, and the Detroit automaker faces an uphill battle to recover any damages.

GM said Thursday that its only factory in Venezuela was confiscated a day earlier, as anti-government protesters clashed with authorities in a country that is roiled by economic troubles. GM said assets such as vehicles were taken from the plant, causing the company irreparable damage.

[detective]

"GM's factory in the industrial city of Valencia did not produce a single vehicle last year. Nationwide, car makers assembled just 2,849 cars in 2016, from a peak of 172,218 in 2007."

[alternatives?]

GM’s former bondholders have the same problem.

[Red Badger]

[Dilbert San Diego]

Reminds me of when Castro and his boys in Cuba seized American owned property in Cuba after their communist revolution there.

Off topic but when Obama started this reaching out to Cuba, was there any negotiation related to how Cuba siezed american property without compensation all those years ago?

[Wolfie]

Well, that’s a shame, but a risk you take when building factories in foreign countries.

[bgill]

GM shouldn’t concern themselves. Just pass the loss onto their customers same as all other businesses do.

[arthurus]

I fault Gummint Motors for not seeing the hand writing on the wall a lot earlier than this and moving its operation out of Venezuela before confiscation or as much as they could get out before the move itself triggered expropriation.

[arthurus]

a risk you take when building factories in foreign countries.

Or leaving them there when a commie takes over.

[dsrtsage]

Fuqum

[I want the USA back]

Venezuela seized it. Stole it. Took it. The guy is a communist.
Communists hate private property. Look to a person’s ideology to find out what he will do.

[Cobra64]

Yup, and GM should have ceased operations and minimized risk and exposure a year ago when Venezuela started it spiral down the toilet.

[wiggen]

They should have sold the plant years ago. Nothing happening you couldn’t predict. If they felt the need to stay and hope to recoup losses than its their own problem.

[Organic Panic]

Perhaps they expect the Venezuelan tax payers to bail them out for failed business operations.

[KarlInOhio]

Off topic but when Obama started this reaching out to Cuba, was there any negotiation related to how Cuba siezed american property without compensation all those years ago?

I expect that Obama would be asking for tips on how to do more of the same.

[Neoliberalnot]

That ain’t a badger. I know, because I have tried to hunt them to extinction on my property.

[Neoliberalnot]

I haven’t bought a GM product since the African muslim delivered tax money to GM’s union criminals and stole 90% of bondholder equity.

[\/\/ayne]

If I remember right, China did the same thing to them in the ‘90s and they never learned their lesson. Just keep trusting Communists. Yep.

[Red Badger]

My cousin................

[monkeybrau]

It’s a shame a worker with some foresight couldn’t have burned the place to the ground. Infuriating that they can just take it without consequences.

[Red Badger]