This GM is full of shit. He can't even answer a question directly. Even after being asked several times. His evasion on the questions, just tells everyone how bad things are. This GM has failed big time and should be replaced when they get the bailout. Cause, everyone knows they will get the bailout....deserved or not
No doubt, how else would they be able to keep flying these Gulfstreams. They need bailout money to keep up apperances. http://abcnews.go.com/Blotter/WallStreet/story?id=6285739&page=1
25 billion compared to over 1.5 trillion given out to banks and investment brokerage firms. And who is more worthy, really? I think Americans have lingering anger over the Wall Street Bailout and are venting on the U.S. automakers.
ther is no reason they should be flying in private jets!!! they should fly in coach to prove a point. I do believe they need some assistance these are not normal markets at all.. give them a bridge loan and make them apy it back in a few years. cut the bonuses and jets then they give the loans! use the wasted exc spending and add it to current cash liqiudity to fund real operational expenses.
I agree that the CEO's should not be flying in corporate jets. Rather, GM, Ford, Chrysler should be selling those jets and shedding assets. I heard Wagoner was perhaps willing to work for $1/year. If he and the other 2 CEO's aree willing to do that I say give them something. I worked for GM from 1979-84 in Detroit. There are a multitude of problems. In no particular order -- the company has always been greedy, maximize EPS, which worked well when the economy was rolling along. Build SUV's and people will buy them. Note that the Pontiac Fiero, a small sporty sports car, disappeared. Why? Low profit margins. Another problem was management arrogance. Third, the UAW. I read an article this morning from a Harvard guy. He said let them go Chapter 11 and re-emerge. The UAW still doesn't get it. Why can Toyota, Honda, etc. build cars more profitably? Simple -- wages and benefits that are reasonable. I'll never forget the year we (salaried) were told we had to give up some benefit. Management told us -- don't worry the UAW will also give this up. Well, the UAW said "we aren't giving it up and if you persist then we'll strike and shut down assembly and component plants". Management caved in and backed down. That said, the auto industry needs something --- way to many jobs connected to the industry. If they fail unemployment would go to 12% IMO. And given that the Paulson financial bailout is a bunch of crap, with banks apparently using $$$ for anything from paying dividends to acquiring other banks, Detroit needs some help at this crucial time.
this is ridiculous and an insult to the american people. if there is indeed a bailout, then the corporate positions ALL HAVE TO BE REPLACED. this is what I would demand as a tax payer. the fault lies with these worthless, thoughtless, useless corporate officials who have done nothing and has given no care to their company for the last 10 years.
Maybe they should have drivin there in one of their own cars. Corporate jets are nothing more then company cars. When you have suppliers and manufacturing in small towns all over the midwest it is wasteful to use commerical air travel. The managment uses a fleet company jets to run the operation. 10K an hour to run a jet. If you need to send a QC team of 6 to Peroria IL it may be cheaper to use the jet.
GM needs to go to Chapter 11....US gov financially backs them as to any cash needed... Bring in Buffett and Berkshire to have oversight while GM re-structures... Buffett understands this type of business...has credibility with everyone.... In 2 or 3 years GM comes out a smaller, but profitable, company.. SteveD