GM came close tofiling bankruptcy during the early 90s, but I think they are in worse shape now. Their stock has collapsed in the last few days, their credit ratings have been lowered and now the "experts" are recommending a belated sell on the stock. You need to go back to 1974 to see a stock price this low.

Once this downward momentum has started, it's tough to stop, and could become self-fulfilling. Do you think they have enough time to turn the corner?

I can't imagine a GM collapse, they almost certainly would get bailed out by the feds. There are automotive suppliers in nearly every state in the nation, the effect of a GM shutdown would be catastrophic.

 

Foreign trash, the route of all evils.

Please notice that I did not use the term jap crap.

They could always follow Ford (worst position of the big three today) and cancel or sell the Hummer line all together just after spending 74 million on the Batton Rouge LA plant to build the H3T??

Reign in the paranoia people, it is still gonna get worse before it gets better. Here in MI we hit the bottom (no where but up now), some of you guys have not got there yet. [&o]

 

Yep it's bad, and going to get worst. Many RV plants have gone into bankruptcy, Mills of all kinds have closed, mom and pop stores, and the list goes on and on. The oil companies, gas refineries, and the toads of wall street pushing the price of oil higher and higher is going to do to America what terrorists have been trying to do for years.

I hope GM makes it, and you would think the Feds would step in to make sure they do. The trickle down would be one of the biggest down falls in American history.

 

Should mention the ignorance sweeping the nation where every thing getting under 35 mpg is the blame for a doomed planet isn't helping. The companies with the money to do the research for alternative power are the oil companies. What makes sense about that is, when/if a alternative is found, we will be paying them STILL at what ever price they want.

The government with it's mandatory E-10 in our gas was a joke, and doing more damage the good. NOT taxing the oil companies with their 40 billion dollar profit is another joke. (voted down in congress last month by 9 votes from the republicans). That made me sick to read.

 

Taxing the oil companies is the most ridiculous, ignorant thing the government could do. The oil companies make an 8% profit margin. For the risk they take that is amazingly thin. The only reason the profits seem so large is that the volume is huge. Look at the gross revenue. Only an economic imbecile would remove the wherewithal from the oil companies to develop more advanced recovery technology. The real problemis the restriction on supply. Recovering proven reserves in the most stable oil producing market in the world by the safest, cleanest oil industry in the world is the answer to bringing oil prices under control and supply more plentiful. Guess what...that is right here in the good old USA with American companies. The enviro-nuts and libs have put more oil off limits in this country than the Saudis have to produce. The Dems and Libs want to force everyone to live how they want us to and this is one of the ways they are going to do. Break the US and Americans by spending our money on foriegn produced oil in an artificially restricted market in the name of you guessed it "saving the planet". That is what makes me sick...and the gullible ignorance of a huge swath of the American public.

 

In the past few quarters GM has had between $28B and $32B (that B is for Billions) in cash and cash equivalents. They lost about $3B during the 1st quarter of 2008. Will it get worse? Maybe? But they really have a substantial ability to survive.

P.S. The H3T is being built in the H3 plant in Shreveport, LA. The H4 or HX, whichever it will be called, is already designated for production in a Mexico plant.

I certainly agree with 3Hummers on the taxing of oil companies and his comments. In fact maybe this high cost of oil will really save our country instead of the reverse. Many companies are now moving production back to the U.S. because of the high cost of ocean transporting. Battery companies, furniture companies that I am personaly aware of have added over 4,000 new jobs in the past quarter to move production back into the U.S. Maybe all of the foreign cars that are sold in the U.S. but not manufactured here will go away. That surely would not hurt GM, Ford or Chrysler.

The cost to transport a 40 foot cargo trailer from Southeast Asia markets has gone from $3,000 to $8,000. Maybe it will go to $20,000 and then watch U.S. manufacturing jobs climb.

 

Shreveport....Red Stick, what's the difference?

I am not worried, just pointing out the investment has been made, they need to reap some returns, and be SMART about it, no noid!!

 

In 1989 Exon profit was 5 billion dollars. Last year it was 40 billion dollars. They are putting out less gas and making more money then ever. The 2 largest oil companies have been in front of congress 2 times already this year to explain their high profits, yet nothing is being done.

Already the States can not afford to keep up with our highways, and roads due to the high cost of not only oil, but fuel. So projects are being put off that need built and maintained. States get fed monies to help in some bridges, and highway projects. NOT taxing the oil companies at 40 billion dollars profit, is leaving one place only to get more money for our nations highways and roads. And that's taxing gas at the pumps.

 

Yeah The General will be just fine their already on the road to recovery. Dont believe the neysayers about market share, that aint true, he** every other car I see in TX is full size GM truck or SUV.

Theirs two real problems thogh and thats all them liberal bugeaters buying little foreign cars and then the cost of gas. When the he** is the Goverment going to do something about it? Four bucks a gallon is rediculus, makes me wonder what kind a man we need running ther country next.

 

The 40 billion is after they have paid tens of billions in tax. The government doesn't tax away everythin yopu make eitheror you wouldn't work. take away the incentive for the oil companies and they won't drill new fields, spend money on exploration, technology etc they will just pump oil from known fields until they are dry. Being in business is about being compensated for risk. I develop real estate and right now there aren't many opportunities because the risk is so great. If I can't get an acceptable return I don't do deals, which puts hundreds and thousands of plumbers, electricinas, carpenters, etc out of work. No jobs, no money, houses foreclosed on cars gone to the repo man....Right now my volume is down because the risk is too great, capital too expensive and the margins too small. I don't have a fraction of the risk the oil companies do and I wouldn't touch a real estate development deal for an 8% return. There is nothing wrong with being a salaried employee who works for an honest living but you have to understand the entreprenurial side of the business equation. The side that creates all those jobs. Pass a windfall profits tax on the oil comapnies and see what happens to prices, available supply, etc. It has happened before with predictable results so lets do the same dumb thing again.
As far as who we need in the White House. We need somebody with *****. We need someone that will say I am going to do the right thing for America and Americans and I am going to steamroll whoever gets in my way. Obama is already proving to be a typical weazel politician. Not sure McCain is much better but at least he doesn't want tax the country into oblivion.