Ford More Likely to Default than GM

Status
Not open for further replies.
Joined
Nov 30, 2005
Messages
656
Location
USA
and your point is...? 9.39 vs. 9.26 per cent...so what? Also, this isn't biased considering it is being posted by "Vortec4300", is it? Talk about useless news.
 
Joined
Aug 10, 2005
Messages
1,550
Location
North Texas
I predict we will see more consolodation, but not among the big 3 US makers. I think we will see GM and Ford starting to sell off more and more of their interest in other smaller companies to other parties and see consolidation among the smaller players in the US market. Something along the lines of Ford sells Mazda and Volvo interest to VW....It's already semi-started with GM selling it's % in Subaru to 'yota. Then again, Chrysler might always have an Ace in the hole. Could Daimler/Chrysler come up with the financing to buy Ford or GM? I'm sure they "could" but i guess it will be interesting to see if they have a desire to. Or if they want to sit back and watch them both implode.
 
Joined
May 25, 2005
Messages
3,559
Location
SE Pa
Volvo has been one of the few bright spots of Ford's holdings, profit-wise. Ford could keep it for its solid cash flow and technology stream, or cash it in now when it's strong. But if Volvo were sold, a sale to DC would be a very good fit and fill in the huge middle market gap in the latter's existing product line. . . . .or perhaps consider the most improbable merger of all: Ford and GM band together. I can just see all the anti-trust folks wringing their hands over that one. Even with the two majors as depleted as they are, it would nevertheless create an automotive goliath. And a restructuring and marketing problem of similar proportion. [ June 23, 2006, 03:16 PM: Message edited by: Volvohead ]
 
Joined
Jan 14, 2004
Messages
1,087
Location
Germantown TN 38138
Given all of the Ford stock owned by the Ford family, which would be rendered worthless by a bankruptcy, I believe that GM will be the first to go belly up. Any company that mismanaged itself so badly that its Oldsmobile division had to close, after being one of the three best sellers about 20 years ago, is a prime candidate for bankruptcy. GM has been run by the bean counters too long. Car guys should run car companies.
 

SSQ

Joined
Sep 16, 2005
Messages
209
Location
OR
None would really go dead, considering that they are making better cars and the fact that they are all doing well overseas. They also own other brands that have been doing well. Closure of Oldsmobile was a good move considering how much GM screwed it up and how much overlapping it had with pontiac and buick. Keep depending on trucks and gas guzzliers though, it'll keep giving up market share to toyota and other companies.
 
Joined
Feb 18, 2006
Messages
1,268
Location
SoCal, CA USA
GM would do well to consolidate even more. I was bummed when Olds shut down, but reality dictates that GM should get slimmer with brands and make a small group of really great cars instead of a bunch of arguably overlapping and unwanted cars. To move forward, I think they have to. Here in my town, another Toyota dealer is going up - a big one and they sell tons of cars... Scott
 
Joined
Jul 19, 2005
Messages
623
Location
Pullman Wa
Between the two I like the F150 better than the Silverado, and I like the Fusion better than the Malibu. I think that Ford is at least coming out with more attractive cars.
 
Joined
Sep 16, 2004
Messages
1,910
Location
Vista, CA
GM's position will change a bit when they run out of cash. Their case burn will hit problems in about two to three years at the current burn rate. Then you will see the fire sales. Some of the car divisions may not be here in 5 years. About 15 years ago when Jack Smith hired Wagoner, and they started turning a profit. The closed plants and cut people and by 95 things started turning around. Then they stopped investing in technology and engineering, because marketing was going to be the key to conginued success. Oops. They started producing cars that no one wanted. In a few years they warmed up the market with rebates and discounts. Finally they are producing good cars, but they just may run out of cash before they start making money. Don't you just hate it when that happens?
 

Al

Joined
Jun 8, 2002
Messages
19,371
Location
Elizabethtown, Pa
quote:
Originally posted by SSQ: Keep depending on trucks and gas guzzliers though, it'll keep giving up market share to toyota and other companies.
Exactly..they still don't get it. [Frown]
quote:
Originally posted by AstroVic: That's sad, particularly sine both companies actually make really good cars these days.
Problem is, they have been screwing the pooch since forev er. [Frown]
 
Joined
Apr 7, 2006
Messages
181
Location
The Delta Quadrant
quote:
Originally posted by Ray H: Kinda like comparing which strain of beans results in smellier gas...
Is there a test for this? Would make for a great 4th of July. [Big Grin] [Wink]
 
Joined
May 27, 2005
Messages
1,141
Location
Texas
I certainly don't want to see any American automobile manufacturer go under. If they build vehicles that will run homegrown fuel efficiently and invest in the technology which fuels them they will be fine. If other fuel sources tries to undercut the prices to stiffen the homegrown fuel industry, monetary penalties should be applied to the offenders. I believe the technology exists to be competitive with oil. As the United States Automobile Industry becomes the leader, they will ship the technology and products to other countries around the world. This is just my opinion.
 
Joined
Mar 14, 2003
Messages
8,710
Location
Nothern USA
quote:
Originally posted by 1999nick: Given all of the Ford stock owned by the Ford family, which would be rendered worthless by a bankruptcy, I believe that GM will be the first to go belly up. Any company that mismanaged itself so badly that its Oldsmobile division had to close, after being one of the three best sellers about 20 years ago, is a prime candidate for bankruptcy. GM has been run by the bean counters too long. Car guys should run car companies.
I forget the details, but Forbes magazine said about the same thing. It may partly involve the Ford Foundation holdings. Look back in www.forbes.com a month or 2.
 
Joined
Feb 1, 2006
Messages
3,833
Location
NEPA
EV-1 cost GM what, a Bill? Marking Saturns in Japan, minus another Bill. Can Ford compete with that level of ineptness?
 
Joined
Aug 27, 2003
Messages
330
Location
PNW USA
quote:
Originally posted by AstroVic: That's sad, particularly sine both companies actually make really good cars these days.
that is highly debatable
 
Joined
Apr 11, 2003
Messages
11,284
Location
Spring HIll
I doubt Ford will sell Mazda. Ford has been using Mazda's technologies for quite some time. Without Mazada, there are far fewer Fords to sell. Sad, but true.
 
Status
Not open for further replies.
Top