All those pundits who accurately stating about last resort moves, must been slightly behind times. If nothing happen by act of Congress (God washed his hands off at this point) GM will see Chapter 11 by February the latest. Plans for the remainder of 2009 year are as useful as teats on a bull.

Redirecting what little cash they have left to the Washington lobbyists obviously.

The result of having bean-counters in charge. All thats left in the end are salaries for those people.

Stupid General Motors. It is crap like this that makes it obvious they should NOT receive any help. If they don’t want to take any risks, how can they expect the U.S. government to?

Here is how the GM Board meeting went:

…. Board: “Mr Lutz, give us the state of our corporate finances”
…. Lutz: “We have enough money to either invest in product, or pay ourselves large bonuses”

…. Board: “hmmmm……… tough choice. Delay the investment, Lutz”

GM has 1 year left
Make it count
DrFill

My how times have changed. In the past we would have applauded GM for delaying a launch until they had actually figured out how to screw the damn thing together properly.

Actually since Cerebus has alot in invested in both companies I wouldnt be suprised to see more plant closures, and I wouldnt see chap11 until 2nd/3rd quarter of 09

The usually outspoken foot-in-mouth Lutz has been surprisingly low profile since GM started cratering.

Dr.Fill, you must be an optimist. If congress will not give GM handout, they’ll have to close doors by February the latest. Sales are in crapper, financing for operations in not available, bonds are of junkiest rating, and they over 1 billion burn rate. Actually it is higher burn rate, but even 4-6 months ago there was some income from sales, which is not happening now, so the burn has much more oxygen in it. There is no need to pour oil on those flames, or to paraphrase into this site vernacular: more-oil-for-gm-is-not-needed.

I am an optimist
Camaro won’t hit the streets until March
Volt not until 2010
GM can make it until at least next fall
If they have to go to Toyota, on hands and knees, and get a loan, they will find a way to make it to Volt in 2010
DrFill

The GM people who ran the company in the 80’s and 90’s who created this legacy mess are dead in the ground or senile in a retirement community.

Dig them up and for the others pull their oxygen tubes out and make them see what they did.

Then take all their cash money (they legally stole it anyway) and use it to loan GM. They screwed GM, now screw them.

Plus go after their children or wife who inherited all that cash. Take it all and invest it in GM.

GM is waiting for a change in the President and Congress. President Bush has explicitly stated he won’t support a bailout like the one Chrysler got in the 1980’s. President Obama (if he’s elected), however, may change his mind, especially as most of the affected areas are tilting Democrat this year. It all comes down to politics.

buy a cobalt!
…

Global, actually both Obama and McCain said the support some form of a bailout.

To make it clear about bailout: the reason current administration washed hands form it, because it involves merger of 2 companies leading to destruction of Chrysler and pink slips to hundreds of thousands its employees. The problem for GM that they have to keep doors open until February to get help. And I don’t believe they have cash to do stay open for that long. Perhaps Red Ink Rick has to demo his fellatio technique to CEO of Toyota, as Dr.Fill duggested.

suggested

most pessimists believe GM has enough cash to last until next summer. Not sure why people are sayiing February. I think these predictions are based on the assumption that sales stay as bad as they have been the last two months which is largely based on the lack of credit or the perception of lack of credit. I think all the automakers are attempting to drive home the point that credit is available.

Baroctober sales numbers
Toyota down 25+%
Mercedes down 25%
Ford down 30%
DrFill

GM down 45% in October
DrFill

I have little love for GM, but if they really were to go bankrupt it would hurt not only the entire auto industry and US economy, but also the global economy as a whole in a very bad way.

sj79, the people (me primarily) saying February because:
time to death = (cash on hand + income from operation – expenses)/expenses
When there was income from operation the life expectancy looked brighter. Now there is no income to speak off, but expenses are constant and they eating up cash on hand. Death is nearer

WEKS, why?

There won’t be a Chapter 11 filing.

WEKS
I have little love for GM, but if they really were to go bankrupt it would hurt not only the entire auto industry and US economy, but also the global economy as a whole in a very bad way.

He’s right. There are still so many people (Americans) involved in the Big 3, that if GM goes down, it won’t be going down alone. Auto industry job or not, it’s going to affect a ton of people.

The USA will go bankrupt before GM does … I guarantee it.

The United States needs ONE native automaker as a strategic industrial asset. It will be either Ford or GM, and I think it’s GM. The government will take the steps necessary to prop GM up, even if the help is undeserved in absolute terms. It’s Chrysler and Ford that are going to expire.

Look back 50 years ago. How many commercial aircraft manufacturers did we have in the US? Boeing, Douglas, Lockheed, Martin, Convair… How many do we have now? One.

The very same contraction is happening NOW to the automotive industry in this country. And who thinks Ford will be the last one standing?

GM is going to bankrupt.

They are f*****. They apparently have about 10 billion in reserve, and are burning thru 2 billion a month. I can’t believe they’re in this bad a shape. The strides they’ve made w/quality, design, technology, and it’s seemingly amounting to nothing. I really hope they come up with some way to survive.

Toyota won’t let GM go under. You watch, Toyota/Nissan/ and VW will give GM a loan if it has to. They need GM to survive to have their shared suppliers stay in business otherwise there will be no parts for any cars to be built. They are all connected, so, I repeat, GM won’t go out of business, not next year, not in ten years. They will be fine and it will work itself out. GM is too important to let fail, for everyone!

14 Billion is their minimum operation capital base amount
They reportedly have 25 billion available, at a loss rate of $1 Billion a month
DrFill

They won’t go under, but they won’t be “fine.” It’s too easy to get addicted to that government cash. They’ll end up like Rover / British Leyland in the UK in the 1970s — a ward of the state producing sad, unwanted products.

one way ford will survive is it has stuff worth buying abroad and pieces of itself it can still sell. GM needs to cut it’s product portfolio it has to much fat in it