Comments on: GM, Ford to face cash drains through 2009

By: xyunya

xyunya — Thu, 08 May 2008 14:26:00 +0000

enigmamf, Ford mortgaged all of it assets 6 months ago for 23 billion USD. It could not operating capital from any other source. Yes it had 2 profitable quarters but not to a tune of 6 billions. Unless Ford involved in money laundering, I can’t see other source of 6 billions. Kerkorian and his Tracinda do not invest in Google: modus operandi there is to take distressed companies into profitability. Ford’s troubles are far from over. GM has 30 billions in cash and draws on operating resources from other sources. And shaver is right, GMAC will drag GM performance into crapper for next few years, regardless of what they sell or don’t sell car wise.

By: ARMY Strong

ARMY Strong — Thu, 08 May 2008 01:00:18 +0000

i even never hear of fitch?

By: bolex

bolex — Thu, 08 May 2008 00:46:15 +0000

fitch is a bitch….sorry couldnt hold it in.

By: TOZO

TOZO — Wed, 07 May 2008 23:49:10 +0000

Fitch is so stupid, as are all the other rating companies. People need to stop listening to these idiots who think they know it all, but really don’t have a clue.

By: enigmamf

enigmamf — Wed, 07 May 2008 23:40:12 +0000

@Z06ified: Ford has $29 billion cash on hand as of April, and that’s before the $2.3 billion sale of Jaguar/Land Rover. That means a percentage of operating costs, Ford has much more cash on hand.

By: shaver

shaver — Wed, 07 May 2008 21:29:17 +0000

GMs big problem is that its usually profitable GMAC arm is right in the middle of the entire mortgage industry debacle. The mortgage crisis will continue to kill GMAC (for atleast 1.5 years) and will hurt the company overall more then any auto sales slowdown or competition.

By: Z06ified

Z06ified — Wed, 07 May 2008 21:07:14 +0000

GM has almost $30 BILLION in cash on hand, and Fitch is trying to tell me they’re facing a liquidity crisis? Ford was nearly on its death bed this time last year, they recently posted two profitable quarters, and now they’re fine and dandy and in much better shape than GM? Give me a break! Where does Fitch hire its analysts? Cracker Jack U?

Not to mention they completely ignored the strong international sales GM enjoys, which is now larger than their North American sales, and they ignored the fact that most of the losses GM reported were non-cash charges. Maybe they don’t know what a non-cash charge means.

By: 400horseSS

400horseSS — Wed, 07 May 2008 20:43:08 +0000

Ya dont say.

By: xyunya

xyunya — Wed, 07 May 2008 20:40:01 +0000

Yeah, we all should live our lives with head stuck in the sand or worse. Actually, we filter news that we don’t like anyway, but the fact stay the same: GM will loose money and Ford as well. For the most this is not worthy news, especially for those who don’t have skin (cash) in the game. Those news a re worthy for those who have $$$ to invest and invests in either debt obligation or equity of those companies. Chrysler is not mentioned because it is a private company, in case anyone wonders.

By: bolex

bolex — Wed, 07 May 2008 20:39:51 +0000

…more bull**** from the ‘experts’. these types are quick to predict, but we never hear from them if these ‘predictions’ were ever right or wrong. to make it worse these dip****s get alot of money to tell there assistances to gather information for them…..’experts,analyst’..gimme a ****in break…

By: mayer_ray_nagin

mayer_ray_nagin — Wed, 07 May 2008 20:35:57 +0000

Cash drains???

I didn’t a car company could get married and have a wife.

By: gizmo2

gizmo2 — Wed, 07 May 2008 20:14:15 +0000

Don’t you just like it when these reality difficient financial analyst come out and predict doom on companies and the economy? Here is a predection smart heads, as the economy get harder people will start spending on food and gas and necessary items and NO money will be spent on the media in which your negative column appear.

By: HemiRoadRunner

HemiRoadRunner — Wed, 07 May 2008 20:06:13 +0000

I like how these people get paid to give their opinions on how bad they think companies will lose their @$$’s. What a bunch of $H!T heads. I wish their business of degrading hardworking companies would take a nose dive so we could talk about how much they suck.