Question on auto bailout (terryray?)
- Thread starter dawgball
- Start date
Well this morning they stated workers in the union add about 8% to cost of the car. Non union a smaller amount of folks is about 5%. That does not surpprise me. I mean you take a Mr Wagner from G M who in last 3 years made 26 million.
Supplys is where you can cut biggest cost. Re tooling is next.
Supplys is where you can cut biggest cost. Re tooling is next.
Need do more than that to shake it up enough.
Those bloated dinosaurs, stuffed with huge unfunded health and retirement legacy costs, with absurd union contracts, way too much management (and overpaid + dysfunctional management at that), way over-extended dealer network, been in trouble even before present downturn, etc..
Not worth 25 cents on the dollar, even at current valuation. In good times a hedge fund mighta thought about takeover--but you can't borrow that money now anyway, little break-up value in these companies, and sobering example of Cerberus (who couldn't get a handle on the industry, mighta been mislead..)
The tens of millions Big 3 spent on lobbyists in DC this year, and millions union spent on electing Democrats are two of the main reasons any bailout plan still alive.
Most every independent economist and analyst you read knows that bankruptcy is the only way that might help, because it is the only way to restructure the management and re-negotiate with creditors and unions.
What's holding up current short-term bailout money are the (small) concessions from unions and management Republicans are demanding, but folks still don't wanna give up (would be forced to give up lot more in bankruptcy). Bush is now going to try and get those concessions with last-ditch money from other bailout.
folks like Buffet, or Ted Turner and those top richest could take over GM by themselves--but you don't see that talk. Everyone knows what a terrible investment it would be, little chance of success.
in a related digression
stock photo below of first car I owned, 1971 Ford Torino Brougham
it had an "M" code 351-4v "Cleveland" V8 (very nice for cruising down to Cali from Oregon!) standard 2.79 axle.
that car's rear axle bearing locked up on I-5 by Redding, CA going 70 mph and caught fire, burned the car.
later had a 1968 Torino fastback GT, Wimbledon White with black C-stripe, like stock photo here (except this one has red stripe) 351-4v "Windsor"
this car ran rings around the 1985 Crown Vic cop car I had at the same time--and that cop car had the special cop HO 351 truck engine in it!
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nope, sure not fuel efficient.
The all original GT had hi compression and I only found a few brands of premium it would run on without piinging. And one station in blue-collar town that still sold leaded premium--it would really boogie on that!
now drive nice stupidly reliable fuel efficient Corolla and tired of that, wanna get back to safe and big Crown Vic
The all original GT had hi compression and I only found a few brands of premium it would run on without piinging. And one station in blue-collar town that still sold leaded premium--it would really boogie on that!
now drive nice stupidly reliable fuel efficient Corolla and tired of that, wanna get back to safe and big Crown Vic
Dawgball did you get out of auto supply business?
As for hot cars of the past there were many. I remember the one that got a lot of attention. It was a 57 chevy fuel injecton. They sell for big bucks now days.
You know they can do things if they want to. A 08 vett can get 25 miles to gal going down highway at 70. Thats a 500 hp car. I remember my first car a 55 chevy 265 V8 it got 22 miles to the gal way back in 58 when I bought it used. Why the auto makers kept fighting all these years that they could not make better fuel milage is a mith.
Maybe they were in with big oil? Like so many believe.
As for hot cars of the past there were many. I remember the one that got a lot of attention. It was a 57 chevy fuel injecton. They sell for big bucks now days.
You know they can do things if they want to. A 08 vett can get 25 miles to gal going down highway at 70. Thats a 500 hp car. I remember my first car a 55 chevy 265 V8 it got 22 miles to the gal way back in 58 when I bought it used. Why the auto makers kept fighting all these years that they could not make better fuel milage is a mith.
Maybe they were in with big oil? Like so many believe.
Got a Minor in Pocession of 46 bottles of Miller Ponies, while riding in a VW BUG going 89 MPH, courtesy of the Missouri Highway Patrol.
She's a chicken coup somewhere. That's what they told me when I traded in a 69 Road Runner! :sadwave:
- Feb 12, 2000
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Yeah. I founded a web-based applications software company in 2001 right around the bubble burst. Been developing and slinging technology since.
My first car was a 1983 4-door Honda Accord. The Silver Bullet (even though it was dark gray). I loved that car. Had a Michelob beer tab with a big silver eagle on top as the stick shift....
:142smilie :mj06: :toast:
is it missouri or illinois where the cops patrol the interstate in souped up cars?
i noticed that about 10 years ago driving through.
nice cars, very nice, undercover.
My son was pulled over by a Souped up Camaro south of St.Louis, can't remember if it was a local or a state vehicle.
Dawgball looks like over all you made right choice.
Talking about police cars. Here in Wis they use a few Blazers unmarked out on the I system. You can't tell that till your right on top them. And they also run planes that can check your speed by distance from markings on the road below. No radar control can save you then.
Talking about police cars. Here in Wis they use a few Blazers unmarked out on the I system. You can't tell that till your right on top them. And they also run planes that can check your speed by distance from markings on the road below. No radar control can save you then.
GM sales in 2007: 9,370,000 vehicles
Toyota sales in 2007: 9,366,418 vehicles
GM profit/loss in 2007: -$38,730,000,000 (-$4,055 per car)
Toyota profit in 2007: +$17,146,000,000 (+$1,874 per car)
Gee let's give them more money, I'm sure they'll make things work this time around :sadwave: :mj07:
Toyota sales in 2007: 9,366,418 vehicles
GM profit/loss in 2007: -$38,730,000,000 (-$4,055 per car)
Toyota profit in 2007: +$17,146,000,000 (+$1,874 per car)
Gee let's give them more money, I'm sure they'll make things work this time around :sadwave: :mj07:
