Posted on 02/25/2016 1:08:22 PM PST by jazusamo
Anyone buying these bonds is a moron. Any CFP recommending them should be stripped of their license.
L
Bump!
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.
Sounds like a GREAT investment!
I don’t buy GM products because they fall apart after a couple of years.
Lurk..... You are right on. Only a fool and his money is soon parted.
oohrah!!
What happened to you happened to me in the mid-80s. I avoid anything and everything GM and don't mind griping about them whenever possible.
Worst of all, they waved the American flag while they were picking their customers pockets. “Buy American” was the mantra while they cheapened their quality to save a few bucks at the expense of their customers.
Check out the underwriters:
Goldman, Sachs & Co.
Citigroup Global Markets Inc., c/o Broadridge
Merrill Lynch, Pierce, Fenner & Smith Incorporated
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!
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.
There’s not a reason in the world out there to let them screw me again.
GM is a benefits company that happens to make cars.
Really? My 2011 Silverado will probably have right about 200,000 miles on it on its 5th birthday and I couldn’t ask for a better vehicle. We’ll be driving it across the country for the 4th time for Field Target nationals in October. Each of the 5 new Saturns we bought were still running like tops at 200k or we still have them (wagon with 237k and SKY redline w/~160k).
“...this gigantic Pension Plan that makes cars...”
Well said!
Awesome! I just haven’t had much luck with them. Full disclosure: I like American cars...as long as they are not Chevy or Chrysler. Ha. Just fooling with you.
My 4 x 4 2003 F-250 is about to turn over to 207,000 miles, in great shape because I’m pretty careful with it. Was at a convenience store yesterday and a car dealer offered me 10k cash on the spot. No deal!
Happy Freeping!
I still have GM stock, I want my money back!
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
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.
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