Please sir, can I have some more?

[OriginalWheelman]

http://www.dailytech.com/Repor...0.htm

Now that the Tuesday deadline is fast approaching for GM and Chrysler to give progress reports on their current financial state and plans for remaining viable, more grim news is being leaked to the press. According to Wall Street Journal, the $13.4 billion USD that was handed over to GM and Chrysler simply wasn't enough. For its part, GM is said to be contemplating two options: 1) request more money to remain viable in the current marketplace or 2) file for bankruptcy protection.

According to both GM sources and U.S. Treasury officials, GM will need more than $5 billion in additional assistance from the government just to limp through the first quarter of 2009. The $5 billion figure doesn’t even take into account the $3 billion in tax breaks that the company will receive thanks to the economic stimulus package that was passed by Congress this weekend and will be signed by President Obama on Tuesday.

So GM is getting ANOTHER 3 bil from us in tax breaks? AND they want 5 bil more? 3 bil in tax breaks for GM is in thie stimulus train wreck?

[bobotech]

Just freaking declare bankruptcy already.

[dirtyNXerchickie]

Just freaking declare bankruptcy already.

i know, right? sheesh! but that would be...hmmm...unamerican?...um...bad for their pockets? umm.... i don't even know!!

[OriginalWheelman]

Chrysler wants more too.

http://www.dailytech.com/Repor...7.htm

President Obama's team is expected to mull over the automakers’ plans for a turnaround for a week or two before publicly announcing their decision. In the meantime, talks between the automakers and UAW are reportedly continuing after UAW officials walked out on Friday. Talks with shareholders are also ongoing.

Chrysler is currently asking for $3B USD more in addition to its $4B USD January loan. It says that if it does not receive this money, it may go out of business. General Motors meanwhile, is still receiving the $18B USD in aid it asked for in chunks, having received $9.4B USD, thus far. It is set to receive another $4B USD soon if it meets the conditions set before it by Congress and the White House.

[marlin29311]

I dont think GM was fulfilling their end of the bargin since the UAW walked out on the negotiations...

[OriginalWheelman]

I dont think GM was fulfilling their end of the bargin since the UAW walked out on the negotiations...

The UAW prolly walked out because GM refused to provide a prostitute allowance for employees with tenure or something equally stupid. The UAW are extortionists, and GM gets it the worst.

*Edit* Here is the highlights section of the UAW 2007 contract. I'll gladly provide the whole .pdf is someone wants to host it.



29.9 billion for retirement benefits? Seems like cutting JUST that would solve their problems.

[marlin29311]

O believe me, I know...I did a senior thesis on GM and all this funness...

I seriously wish GM would just chapter 11 now to dump off the UAW - it's not GM that is having the problems, it's the damn labor unions that suck this country dry...

Reminds me of the Comcast building on Philly - the original plans had waterless plumbing and sewage so it would be LEED certified and more Green, but the plumbers union of Philly fought and fought for standard pipes. You know whats there now? Both...waste of f***ing money...

[480sx]

Their contract is more than a little ridiculous. They need a dose of reality, the companies that sustain their jobs arnt in a position to offer them such benefits in their current state. Iv said it before, but it seems like they are insuring their own demise by trying to play hardball.

[AZhitman]

^ Genius.

Brillianly-stated, and so damn true.

Now, if we can just get the new POTUS to address it... Remember, that's a huge BO support base.

I foresee shenanigans.

[OriginalWheelman]

http://www.dailytech.com/GM+As...6.htm

The real numbers are in. GM wants 12 billion more while they cut 47k jobs. Wasn't the whole point of this loan to save jobs?

* I'm reading the .pdf of their plan just got to page 8 and read this little gem.

The Company is also in discussions with many foreign governments for funding support.

So 12 billion more, and they are asking other governments for cash? This is ridiculous.

Page 9

Financial Viability—One important measure of determining long-term financial viability is whether the Company has positive Net Present Value (NPV). Based on the assumptions and methodology set forth in Section 5.3 and Appendix J, the Enterprise Value of GM under the Baseline Scenario is estimated between $59 billion and $70 billion. After deducting the Net Obligations of the Company and adjusting for the proforma effects of the two-thirds reduction in public unsecured indebtedness and 50 percent reduction in the UAW Hourly VEBA obligations (per the requirements of the U.S. Department of the Treasury loan agreement), the NPV of the Baseline Scenario of the GM Restructuring Plan is estimated in the range of approximately $5 billion to $14 billion.

So GM is worth 5- 14 billion and they want borrow 12. That doesn't sound like a safe investment to me.

Page 13

Australia—Continued local production has become more challenging dueto changes in market preferences. GM‘s local subsidiary (Holden) andthe Australian government have developed a plan to bring to market a new,more fuel-efficient vehicle, with project funding provided by theAustralian Government in the form of permanent grants. With thissupport, Holden is projected to be a viable operation, making a positiveNPV contribution.

Looks like they got Australia to bail out Holden.

Approximately 90% of GMCL‘s production in 2008 wasexported outside of Canada, primarily to the U.S. Approximately 88% ofGMCL‘s domestic sales were imports from the Company‘s U.S.operations.

Well here's an idea, instead of build cars for sale in the US in Canada, and vice versa, why not sell the Canadian cars in Canada and the US cars here?

Page 14

Sweden/Saab—The Company has conducted a strategic review of itsglobal Saab business and has offered it for sale. Given the urgency ofstemming sizeable outflows associated with Saab operations, GM isrequesting Swedish Government support prior to any sale. The Companyhas developed a specific proposal that would have the effect of cappingGM‘s financial support, with Saab‘s operations effectively becoming anindependent business entity effective January 1, 2010. While GM ishopeful that an agreement can be reached with the Swedish Governmentto support this direction, the Saab Automobile AB subsidiary could file forReorganization as early as this month.

Anyone want to buy Saab?

General Motors is also in discussions with the German Government for operating and balance sheet support. A sustainable strategy for GM‘s European operations may include partnerships with the GermanGovernment and/or other European governments.

I'm not 100% on the wording, but it loosk like they want the German gov to bail them out too.

103 pages to go. Something tells me this going to just keep going.
Modified by OriginalWheelman at 6:56 PM 2/17/2009

[OriginalWheelman]

http://www.dailytech.com/GM+Po...8.htm

When reports indicated that GM might soon request more cash, many observers puzzled at the news. Hadn't GM just received a massive $13.4B USD loan from the federal government? Well, $13.4B USD doesn't last too long when you're losing $9.6B USD a quarter. That's how much GM lost in the Q4 2008, according to its earnings reports released today.

To put it concisely -- GM is in deep trouble, and bankruptcy seems more and more like the only option. GM's Chief Executive Officer, Rick Wagoner, however, refuses to entertain such thoughts and is preparing to ask the treasury for more money.

[Logan76]

I wish my Union Contract looked anywhere similar to that

[Jacko3]

http://www.dailytech.com/GM+As...6.htm

The real numbers are in. GM wants 12 billion more while they cut 47k jobs. Wasn't the whole point of this loan to save jobs?

* I'm reading the .pdf of their plan just got to page 8 and read this little gem.

So 12 billion more, and they are asking other governments for cash? This is ridiculous.

Page 9

So GM is worth 5- 14 billion and they want borrow 12. That doesn't sound like a safe investment to me.

Page 13

Looks like they got Australia to bail out Holden.

Well here's an idea, instead of build cars for sale in the US in Canada, and vice versa, why not sell the Canadian cars in Canada and the US cars here?

Page 14

Anyone want to buy Saab?

I'm not 100% on the wording, but it loosk like they want the German gov to bail them out too.

103 pages to go. Something tells me this going to just keep going.

Modified by OriginalWheelman at 6:56 PM 2/17/2009

perhaps, a different perspective on unions and why the auto companies ar ebeing bailed out, maybe in order here, don't you think?

http://www.nytimes.com/2008/12...pEvzQ