Automaker in deep trouble

[Silver_blade]

You are right in what you are saying. Correction is the key point here. GM and Ford are really big and to allow them to fall at one go when have a tsunami effect on many countries and spread beyond just the car industries. Financial institutions, electronics co., machinery co, mining, shipping, etc....will be affected.

 

The financial help these companies are asking for will not get them out of trouble...but to buy them time to restructure and to reposition themselves (if they are still alive).

 

The U.S or the many part of the world just cannot allow them to just collapse overnight. I feel it's better to keep them going for a the time being...allowing them time to trim off the money-losing businesses, sell the profit-making ones, allow time for take-over, etc...in order to keep as many jobs as possible.

[Ngck]

i read from newspaper one.

 

anyway from CNN, one article quote a former materials handler from GM earning USD60K before he retired

 

Pension is 30K now. excluding health benefits.

 

now he worried about his pension and grandson education fees if GM fails. Thats where i guess part of the bailout money will go to. including preserving the fat paychecks and lavish lifestyle of the executives.

[Ngck]

In Reply To

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lets the japs take over them at japs terms....

 

the japs won't want to take. they are in trouble also with recession.

 

 

earning USD78 per hour is crazy....

 

With such pay rate, the anno neh lagi run faster for life.

 

Already Ford need to let go Mazda due to finc burden, who want to take the Big 3 with all the ang moh getting fat pay and bonuses tied in regardless of co make or loss.?

 

thats why i say let japs takeover a japs terms man... work them to their death! haha

 

all salary and benefits to be adjusted. haha

[Ngck]

jim rogers say let them fail leh.

 

the market need to reset itself to normal levels. business need to go bankrupt. people need to lose their jobs as the market is not sustainable. artificially inflated by yankees overspending.

 

this crisis is the solution not the problem. the problem is yankees over spending

the world have to take to bitter medicine. pumping in money is not the solution. Thats what he says.

 

 

but of course rich man can afford to say this. i also scared to think what will happen if too many business fails.

 

hopefully those experts can find a balance and save the world.

[Silver_blade]

You are right.

 

What's happening in the U.S. is not just their fault....but the rest of the world also have to bear some of the blame. The americans were spending beyond their means and the rest of the world just play along, keeping selling things to them and make money from it. Now something like this happened to them...the rest of the world complaint that their former 'boss' has lousy fundamentals, etc....

[Silver_blade]

But what's happening now is actually good for everyone on the long term. But people have to suffer now for a better future....and the cycle will begin again.

[Hoppe]

Toyota is cutting forecast by 50%. In Turkey, almost 25% production running.

In Japan still ok, but down.

In USA, no need to say. That country is broke.

 

Honda seems to be doing better in the time of crisis. I think they up their production.

 

Nissan and the rest, all forecast down.

 

And because they are car makers, their tier 1, tier 2 all losing businesses and this will affect the economy around the world really bad in 2009.

 

Let's brace ourselves for 2009. It is gonna be a really bad year.

 

I won't be surprised if GM, Ford or Chrysler go under. Even Citibank.

 

The world economy needs a REBOOT.

Edited November 23, 2008 by Hoppe

[Wt_know]

fully agreed.

what goes up MUST comes down. otherwise, how the cycle repeats ?

 

But what's happening now is actually good for everyone on the long term. But people have to suffer now for a better future....and the cycle will begin again.

Edited November 23, 2008 by Wt_know

[Hoppe]

Or maybe should buy and enjoy while u can.

 

Maybe all lose job next year!!

 

let's spend spend now and declare bankrupt later.

At least can enjoy.

[Ngck]

it's shutting down now.

[Ngck]

Let them fail! Let them fail!

 

Cannot man. At least two must stand. Even if one falls, say, GM, that means at least 1,000,000 more jobless. Then suppliers and their suppliers' workers go down too (and from some estimates) that'll add another million jobless. And when suppliers go down the other two, Ford and Chrysler will have trouble too (cos the Detroit Three share a gargantuan value chain), then perhaps another 1,000,000 laid off.

 

That easily brings US jobless up to 10%. That means even more people are gonna be spending less = even more jobless. Which then means export economies LIKE SINGAPORE suffer even more. China, with almost 30-40% of its GDP depending on exports will die too. Europe will die as well for the same reason.

 

Really want them to fall now?

 

Anything bad for the US is bad for everyone. US accounts for a huge portion of world demand. They die, we all die.

 

It'll be another half a century before the US becomes a smaller player in the world economy.

 

In the meantime, let's all wish them well.

 

lets the japs take over them at japs terms....

 

earning USD78 per hour is crazy.... if bailout passes, i also want to go be a car maker in detroit

 

 

Earning USD78 per hour is an interesting statistic. Where did you get this figure bro? And is this the minimum pay for the factory operators?

 

finally found another article the quoted the obscene unionized workers pay

 

http://www.financialsense.com/fsu/editoria.../2008/1201.html

 

The Citi bailout greatly increases the chances for a similarly misguided auto industry bailout. After all, if taxpayers ensure multi-million dollar bonuses for Citi executives, how can they refuse similar help for eight-figure auto executives and $70 per hour unionized auto workers?

[Darth_mel]

If we all lose our jobs, maybe moderator can set up a kiao-kah forum and we carry on TCSS there....

 

Strictly for the unemployed.

[Yrvsport]

GERMANY has gone into 'RECESSION' - the most scare word nowadays

I hope to the BMW-3 & C-CLASS will be cheaper next year and sell at approx $100K+- to woo customers from accord/camry

 

Only in sillypore is more than 100k..but in europe BMW is like a dirt cheap cheap which cost less than 50K..hahaha

[Stary]

http://money.cnn.com/2008/11/07/news/compa...sion=2008110716

 

GM, FORD & CHEVROLET, the 3 biggest automaker in US are in deep trouble.

 

What about TOYOTA, HONDA & NISSAN in Japan ?

What about BMW & MERC in Germany ?

 

Are all automakers facing huge losses ? Will car going to be cheaper in 2009/2010

 

get Jack Welch back from retirement and run GM.

 

Jack would have fire every incompetent brad, bring down all the layers of bureaucracy, put six sigma in place and watch the company grow.

 

He has, afterall, turned GE from 4 billion enterprise in 1980 into a 140 billion company in 2001.

 

No one will do it better than Jack considering the current situation GM is in.

[Chowyunfatt]

Rule of thumb in manufacturing is as such...if there is a demand & more are produced, prices will be lower...vice versa...

 

So I dun think cars will get cheaper...

[Wrxblue]

interesting read in the eyes of industry "experts"....

http://www.autonews.com/apps/pbcs.dll/arti...9901/1179/ANE02

[Jackpot]

Wall St. bailout may be used for Big 3

 

White House changes course, says it is looking at using $700 billion bailout to provide GM, Chrysler cash they need to stay out of bankruptcy.

 

 

 

If they allow GM & Chrysler to go bankrupt, the impact on economy will be much much greater than the collapse of Lehman Bros.

Ultimately, I see the bailout will still go thru.

[Mojoe]

Okay... really really in deep s**t now.. Bailout collapses

 

http://sg.news.yahoo.com/afp/20081212/tts-...cs-972e412.html