Gm Bankruptcy ?

[Peter Hansen]

According to Porter Stansberry of S&A digest GM ain't looking too pretty anymore ......I guess one too many "GAS HOGS" sealed their fate LOL .....those who hold GM Bonds as part of their retirement package ....may wish to liquidate NOW while ya still can . Now read this
Hey but look at the positive aspect of the whole thing .....ya wont see a solitary soccer mom BSing on a cell at the traffic light blocking your view of turning cars . Praise the lord for small favors .

"Long-time readers will recall our warnings from the "chairman" of General Motors. He told us if the U.S. slipped into recession this year, GM would go bankrupt within 18 months. Many subscribers found these warnings ludicrous. Well, those warnings have become the conventional wisdom. Credit-default swaps are insurance you can buy against the risk of default in corporate bonds. The cost of buying such insurance on GM bonds has soared over the last month. Normally such insurance would cost $400,000 for $10 million in bonds. Now it will cost $2.8 million up front and another $500,000 per year. The pricing indicates a 70% chance GM will default. The Wall Street Journal asked GM to comment. A company spokesman said GM has sufficient liquidity for 2008. He declined to comment on 2009"

[billyjoe]

Pete,
Thank God when my father retired from GM in 1981 they just started a program where non salaried workers could buy shares in the company. He ended up with only 5 shares that my mother still holds.

-------Several friends and neighbors work for or have recently retired from Ford. They are trying to sell the local plant with no takers. Operating under a different name they pay less than half of what they used to and drastically cut benefits. A friend that has worked in purchasing for nearly 30 years advised me to get rid of all F stock and I did when it hit 8.50 a few months ago. My brother who took a buyout from F a couple years ago sold 1/2 his shares to Tricenda Corp. (Kirk Kerkorian) for under $8. Since the Ford family owns so much of the preferred shares I don't know how that figures into future bankruptcy or dissolution of the company. My purchasing agent friend says their debt is staggering.

-------------billy

[New-born baby]

GM Bankruptcy? Yeah, but what about . . . .

GM Bankruptcy? Yeah, it's a done deal, but what about the entire USA?
What company is going to survive $5, $6, $7, $10 gasoline? Sure, we can all go back to farming with sticks like the liberals want (that would stop "global warming" lol--what a lie!), but the smoke from burning wood in stoves might exceed the polution from burning petrol. At least the liberals meant well. (Or do they?)

Too bad there isn't enough morals or sense on Capitol Hill to legalize drilling for oil and (Heaven forbid!) balance the Federal budget.

It says right here that the S&P will fall to at least 900, and probably lower. 1929 style crash coming? Probably.

Hey, I forgot to mention . . . Toyota recalled every single Tacoma Pickup made from 1995 to 2003. Talk about GM quality. Now my question is this: how come the main stream media did not report this? Oh, you don't believe me? Well, you could read this link:

http://jalopnik.com/376911/rusty-toyota-tacoma-toyota-may-buy-back-your-truck-for-150-the-value

Here's an interesting read:

http://www.lemonauto.com/complaints/toyota/toyota_tacoma.htm

If you own one, here's how to get your money:

http://consumerist.com/379734/toyota-announces-tacoma-buyback-program-for-severe-rust-corrosion

[Peter Hansen]

New Born THANX

GM Bankruptcy? Yeah, it's a done deal, but what about the entire USA?
What company is going to survive $5, $6, $7, $10 gasoline? Sure, we can all go back to farming with sticks like the liberals want (that would stop "global warming" lol--what a lie!), but the smoke from burning wood in stoves might exceed the polution from burning petrol. At least the liberals meant well. (Or do they?)

Too bad there isn't enough morals or sense on Capitol Hill to legalize drilling for oil and (Heaven forbid!) balance the Federal budget.

It says right here that the S&P will fall to at least 900, and probably lower. 1929 style crash coming? Probably.

Hey, I forgot to mention . . . Toyota recalled every single Tacoma Pickup made from 1995 to 2003. Talk about GM quality. Now my question is this: how come the main stream media did not report this? Oh, you don't believe me? Well, you could read this link:

http://jalopnik.com/376911/rusty-toyota-tacoma-toyota-may-buy-back-your-truck-for-150-the-value

Here's an interesting read:

http://www.lemonauto.com/complaints/toyota/toyota_tacoma.htm

If you own one, here's how to get your money:
http://consumerist.com/379734/toyota...rust-corrosion

New born thanx for the additional info.....The country has been in tight spots before .....and we pulled through...I try to see the good in everything ...and after the darkness ..the sun will surely rise !

[New-born baby]

New born thanx for the additional info.....The country has been in tight spots before .....and we pulled through...I try to see the good in everything ...and after the darkness ..the sun will surely rise !

I hope so, Pete.

[Peter Hansen]

Drive What Chevy To The Levy?

Porter Stansberry in "The S&A Digest "feels that GM's Bankruptcy is INEVITABLE. Here is "Bye Bye Ms American Pie" by Don McClean

http://www.youtube.com/watch?v=3GB0f47BMak

"Poor GM. Now, at the very bottom, it's finally talking about cutting white-collar jobs by the thousands and selling off more of its brands. Whatever GM does now won't matter, as I've been telling you for months. GM can't fix its core problem – huge legacy costs assumed when GM made one out of every three cars in the world. Now, GM only makes about 12% of cars globally.

It can't afford its debts, infrastructure, or unions. And it's not even close. Bankruptcy is inevitable. The sooner it happens, the better for everyone involved.

One other thing everyone seems to have forgotten about GM: It still owns 49% of one of the largest mortgage companies in America, GMAC. Look at the tight correlation between GM's shares and Freddie Mac's over the last three months:



While GM's car business is the anchor drowning the company, it might be the mortgage business that finally kills it.

Here's a bit of GM irony to consider. GM's lead independent director is none other than George Fisher, the same executive who oversaw Kodak's spectacular collapse in the late 1990s as digital cameras destroyed its core business of chemical film. (I was short Kodak, too.)"

[jiesen]

GM is a terribly unprofitable health care company that happens to sell cars and lend money as well.

[mrmarket]

GM is a terribly unprofitable health care company that happens to sell cars and lend money as well.

I still love their caddies. I own a 2001 STS and a 2007 DTS. Vrooom Vrooom.

(and someday I will own a Vette)