GM posts $4.3 billion loss in July-December period

[Bryanccfshr]

GM posts $4.3 billion loss in July-December period

Who else thinks that GM will be in the red despite the clean slateof Bankruptcy reorg?


Edit to add: that this is not a bash on Domestic it is about a businessnot doing to well. So all these foreign -vs- Domestic never ending battles (USA and RZZPA in particular)this is not meant for your consumption, nor to bash or prop up your positions.

Thank you.

 

[rszappa1]

Gee I thought thay they are making good stuff and will repay the loan.... Tell me how you can repay when you have a 4.3 billion dollar loss.....

 

[bepperb]

Well, the market is really working against them. Their small cars are average at best, and their traditional profit center of trucks and suv's has really been hit hard since 2008.

If you look at who is doing well, it's still companies with no trucks and better small / fuel efficient cars like Hyundai, Subaru... etc.

So, I guess it comes down to how soon they can get the Cruze in, how good the new Malibu is, and if the market as a whole strengthens. They seem to be making good cars, but that's not enough unfortunately.

 

[pbm]

I have always felt that GM hires too many MBA's and not enough engineers...

 

[BeanCounter]

Originally Posted By: rszappa1
Tell me how you can repay when you have a 4.3 billion dollar loss.....


Tell the unions to take a hike, that's how.

 

[addyguy]

It's unfortunate, because they do have good products.

 

[L_Sludger]

Originally Posted By: rszappa1
Gee I thought thay they are making good stuff and will repay the loan.... Tell me how you can repay when you have a 4.3 billion dollar loss.....
Easy, the government continues to subsidize the debts on the backs of us taxpayers. They're a zombie company.

 

[Bryanccfshr]

If you want different results you have to do things differently. I don't see them doing things too differently so the results are unfortunately predictably going to be constistant with the past.
Product line up, organizational structure , manufacturing methods and supply chain all need change.

 

[saberz]

Well they are on a turn around, it will be an uphill battle. Their vehicles are getting better(some faults but better). I think they are doing the right thing by doing some big advertising, they need to fix the issues that are plaguing some of their cars(ISS comes to mind across several cars).

It's going to be hard, people lost a lot of confidence in them. With the debut of the Cruz and Volt it may help things, but they need to over deliver on product(ie better than what was shown) and price to compete. Lots of hype on vehicles but lots of let down as well, specially when it comes to interiors(plastic plastic and more plastic). Lush it up some, give it a feeling that you care what people are touching, sitting on etc.

 

[GMBoy]

Originally Posted By: Bryanccfshr
If you want different results you have to do things differently. I don't see them doing things too differently so the results are unfortunately predictably going to be constistant with the past.
Product line up, organizational structure , manufacturing methods and supply chain all need change.



As in insider I can assure you LOTS have changed w/in GM and we are a better company now. It is very unfortunate that the public doesn't hear about this so most people feel just like you.

 

[rszappa1]

GM may be a better comapny then before... but better may still mean behind the others out there....

 

[Ursae_Majoris]

....

 

[wapacz]

http://online.wsj.com/article/SB10001424...latestheadlines

It still looks like they are looking to be profitable this year.

 

[Bamaro]

Originally Posted By: BeanCounter
Originally Posted By: rszappa1
Tell me how you can repay when you have a 4.3 billion dollar loss.....


Tell the unions to take a hike, that's how.

I'm not sure that the unions are still the problem that they were.

 

[Bryanccfshr]

Originally Posted By: GMBoy
Originally Posted By: Bryanccfshr
If you want different results you have to do things differently. I don't see them doing things too differently so the results are unfortunately predictably going to be constistant with the past.
Product line up, organizational structure , manufacturing methods and supply chain all need change.



As in insider I can assure you LOTS have changed w/in GM and we are a better company now. It is very unfortunate that the public doesn't hear about this so most people feel just like you.


It is important that GM do a better job of communicating these changes made. Public perception drives investments and purchases. I would love to hear the changes and there effects in your operation.

 

[rszappa1]

The UAW will always be a problem.................

 

[BeanCounter]

Originally Posted By: Bamaro

I'm not sure that the unions are still the problem that they were.


Take a leisure glance at operating costs due to UAW and then compare it Toyota or others; not just total, but per employee and such. It is a world of difference...

 

[LS2JSTS]

Originally Posted By: Bamaro
Originally Posted By: BeanCounter
Originally Posted By: rszappa1
Tell me how you can repay when you have a 4.3 billion dollar loss.....


Tell the unions to take a hike, that's how.

I'm not sure that the unions are still the problem that they were.



With the new agreement, going forward, you are correct. They wont propose the same set of issues as they have in the past. The new starting wage of $14 for new hires and the new benefit package going forward will be serviceable.

But the problem is the legacy costs and the current employees at the old pay scale. If the government had done a legitimate BK proceeding this would be a non issue as the UAW would/should have been left hung out to dry. As it was, they were considered and treated as a protected class and given ownership of the company. The reason, partially, is that the government didn't/couldn't take over the huge debt of the retirees benefits. The total debt to service the GM retirees is more than the PBGC has in total reserves. The feds couldn't allow the pension to go into the federal PBGC system because it would have broke them, just like it's doing to GM.

GM got all the bad press for going through a BK, but got little of the benefits, at least as it pertains to the UAW situation.

 

[kelpie]

It is fashionable to bash unions as of lately, but they have contributed enormously to the middle class over the years.

 

[rszappa1]

and have hurt many companies also...