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US loses Billions on GM stock sale
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Dec 11, 2013 08:10:22   #
Screamin Scott Loc: Marshfield Wi, Baltimore Md, now Dallas Ga
 
Well, the fact that you "traded up" every 2-3 years means that you did not see many problems that show up in longer term reliability... Consumer Reports reliability testing even points out the advantage of many foreign nameplates ib reliability ratings. Anytime you buy a used car, you are inheriting problems that the previous owner never took care of. Since you worked for GM, I'm sure you the preventative maintenance that many buyers don't do & got a discount on parts & service to boot... Like I did on my foreign cars although I kept them for upwards of 10 years before "trading up"... You are correct about GM's bankruptcy though. It wasn't handled like bankruptcies are normally done & investors got the short end of the stick. I wouldn't invest in a company that didn't protect my investment. GM's problems were of their own making, not due to anything else but their short sightedness, not realizing that smaller cars were taking over the market even though it was plain to see. As it is, their truck line is what's holding up their bottom line currently.
srron wrote:
I worked for GM for 35 years and driven nothing but GM cars,trading up every two to three years and only had minor trouble with one of them.The only foreign cars i owned were junk,although they were used when i bought them,so that is a factor.
I also believe the GM bankruptcy was a crock,due to its brevity and other factors,designed to allow GM to quickly downsize and renegotiate contracts in their favor.

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Dec 11, 2013 08:12:07   #
Screamin Scott Loc: Marshfield Wi, Baltimore Md, now Dallas Ga
 
Bit of a bigot are we? Calling the Japanese derogatory names.... Sounds like you live in a cave & don't know how the world economy works...
Add wrote:
Cars built by the Japs do nothing for the US economy.Same for junk made in China.

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Dec 11, 2013 08:14:09   #
John N Loc: HP14 3QF Stokenchurch, UK
 
You can't really complain about foreign companies setting up in the U.S. and shipping profits back to thier home nation. Starbucks and Amazon are just two who are saddled with the same complaint over here.
If you want to put a stop to it it's going to have to be a worldwide solution.

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Dec 11, 2013 08:14:51   #
John N Loc: HP14 3QF Stokenchurch, UK
 
You can't really complain about foreign companies setting up in the U.S. and shipping profits back to thier home nation. Starbucks and Amazon are just two who are saddled with the same complaint over here.
If you want to put a stop to it it's going to have to be a worldwide solution.

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Dec 11, 2013 08:25:14   #
Screamin Scott Loc: Marshfield Wi, Baltimore Md, now Dallas Ga
 
Well, well. Here is another person who knows squat about business. You say that the foreign companies get "sweetheart" deals to open plants here in the States. That also holds true for most American owned companies as well. Why do you think those would relocate their operations from one state to another ?.... While those companies (American or foreign) get tax breaks, they also create jobs & those jobs are also a source of tax revenue. Then, they also have the effect of other, related subcontractors opening plants nearby so as to cut down the costs involved with shipping their goods to those plants. They create jobs & tax revenues as well. Then you have the shipping companies that haul the cars to their destination (they could be rail, trucking, or containership companies) They also create jobs & tax revenues. So much for your quote that the "American auto job affects 7 other jobs" as the foreign nameplate jobs do the same.. So if you don't want foreign nameplates sold here, then we should not sell our nameplates in other countries either ? Are you a protectionist ? That didn't work before & won't work now either. As for your last statement, that shows sheer bigotry. My father was a WWII vet & he was tickled pink when I got my first "Foreign" nameplate....Oh and he made his living in the auto business as well, selling repair & replacement parts to Ford, GM & Chrysler dealerships...
rlaugh wrote:
These foreign car companies open up plants in the U.S. and often without having to pay the taxes that U.S. car companies have to pay,and hire a few American workers! But the big money those companies make goes back to their countries,it does not stay here! Also the minute the American car companies would fold,those foreign car companies would go back to their own country,hire workers a poverty wages,ship all their cars here,at inflated prices. Studies have also shown that every American auto job affects 7 other jobs,so shut down the American auto companies and see how many other workers it affects! And even though it happened a long time ago,and has nothing to do with people living in these countries now,I'm sure my relatives who fought in certain wars,would rather see me buy an American car then a German or Japanese car or Korean!
These foreign car companies open up plants in the ... (show quote)

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Dec 11, 2013 08:37:24   #
rlaugh Loc: Michigan & Florida
 
John N wrote:
You can't really complain about foreign companies setting up in the U.S. and shipping profits back to thier home nation. Starbucks and Amazon are just two who are saddled with the same complaint over here.
If you want to put a stop to it it's going to have to be a worldwide solution.


If you are talking to me,I didn't mean to infer that they shouldn't ship their profits wherever they want,its just that so many think they are bringing a great deal of wealth to the U.S. and its not true! Just as Amazon and Starbucks hire a few people from your country to work in their shops, but put how many business owners from your country out of work!

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Dec 11, 2013 08:57:19   #
ottopj Loc: Annapolis, MD USA
 
Do you bank in one of the places that took us down the tubes? If so, why?

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Dec 11, 2013 10:23:20   #
imntrt1 Loc: St. Louis
 
[quote=graficsfx]
Screamin Scott wrote:
The taxpayers are taking a hit on this. This after the stockholders took the hit when Obama changed bankruptcy rules to favor the Unions over shareholders...I'll never own another GM vehicle. My last one was about 30 years ago...

Perhaps you would prefer that the US only have 1 (Ford) auto manufacturer?


I only had one new GM Product over the years and it was enough to sour me on anything GM....From Quality to piss poor service on warranty items. On the other hand I've owned plenty of new Ford Products from Mustangs to Thunderbird s...even a Maverick...Good Quality...Good Service..and Ford Never took a red cent of tax payer money for a bailout....They were Solvent. Also GM makes 70 percent of their cars out of country....R & D for Cadillac is moving to China...and they are focusing on the Chinese Market. So to answer your question...If it were to come down to it I would indeed prefer to have only Ford.

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Dec 11, 2013 10:31:24   #
hondo812 Loc: Massachusetts
 
The real problem I have with the GM bailout is that it allowed them to drop $1.5 Billion on a factory remodel in Mexico and another $2Billion for a new plant in China. I seriously doubt that bit of business saved many Americans their jobs, which if I am not mistaken, was the goal of the bailout.

Add to that the fact that GM hasn't fundamentally changed their corporate culture which was the reason they were headed for bankruptcy in the first place.

So tell me, what did the American people exactly gain here? Are there more or less jobs for Americans from GM? Did GM reinvest in american plants? Has GM changed their top heavy corporate structure?

While I feel bad for the average Joe that works in the auto industry and their supply chain unless they fixed the sources of the problems within the corporation nothing has changed and nothing will prevent this from happening again. I think they should have let them go through bankruptcy. It would have forced out the clowns running the show. Same goes for the Banks. I mean it's been 5-6 years now and not one of them is in jail and that's not right...Not at all.

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Dec 11, 2013 13:49:53   #
manderson Loc: Northeast Nebraska
 
My issue with gov't bailouts is that it is not the place of the federal gov't to get involved with private business. Period. Federal gov't shouldn't get to pick which business it wants to survive and which ones get to shut down. Maybe the small business that is struggling should ask for a bailout and tell the gov't not to expect all the money back. Probably not going to happen. Have you noticed that the industry (auto) that got the bailout is also heavily unionized. So who really benefited from this bailout. The democrats, that's who.

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Dec 11, 2013 14:37:05   #
imntrt1 Loc: St. Louis
 
manderson wrote:
My issue with gov't bailouts is that it is not the place of the federal gov't to get involved with private business. Period. Federal gov't shouldn't get to pick which business it wants to survive and which ones get to shut down. Maybe the small business that is struggling should ask for a bailout and tell the gov't not to expect all the money back. Probably not going to happen. Have you noticed that the industry (auto) that got the bailout is also heavily unionized. So who really benefited from this bailout. The democrats, that's who.
My issue with gov't bailouts is that it is not the... (show quote)


And don't forget.....The Government made the CEO resign from GM and that is not within their scope of power. The only people that should have determined the fate of the GM CEO are the stock holders prior to the bailout.

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Dec 11, 2013 14:51:58   #
RMM Loc: Suburban New York
 
Ford didn't take the bailout money, but supported it because if GM and Chrysler went under, the parts manufacturers would have gone, too, and that would have been the end of Ford. Normally, I'd have opposed a bailout, too, but everything was going to hell at once, and a repeat of the Great Depression was a very real possibility.

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Dec 11, 2013 14:59:22   #
Screamin Scott Loc: Marshfield Wi, Baltimore Md, now Dallas Ga
 
As you said, a "possibility" not a certainty...Many of your foreign nameplates use the same vendors too and if the big 3 had shuttered, someone would have come in & bought them up... Happens every day in the business world...Fiat bought into Chrysler didn't they ?
RMM wrote:
Ford didn't take the bailout money, but supported it because if GM and Chrysler went under, the parts manufacturers would have gone, too, and that would have been the end of Ford. Normally, I'd have opposed a bailout, too, but everything was going to hell at once, and a repeat of the Great Depression was a very real possibility.

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Dec 11, 2013 15:37:01   #
Penny MG Loc: Fresno, Texas
 
imntrt1 wrote:
I only had one new GM Product over the years and it was enough to sour me on anything GM....From Quality to piss poor service on warranty items. On the other hand I've owned plenty of new Ford Products from Mustangs to Thunderbird s...even a Maverick...Good Quality...Good Service..and Ford Never took a red cent of tax payer money for a bailout....They were Solvent. Also GM makes 70 percent of their cars out of country....R & D for Cadillac is moving to China...and they are focusing on the Chinese Market. So to answer your question...If it were to come down to it I would indeed prefer to have only Ford.
I only had one new GM Product over the years and i... (show quote)


I, like you, are an advid Ford fan. I like others as well, but every Ford I have had I kept until about 300,000 miles then sold them still in excellent condition. My current Roush Mustang convertible even survived a head-on collision with a cement pumping truck. It is almost 14 years old and still runs like a charm. I've had 1 brand new chevy, and the 2nd week the steering column and ignition switch broke. I immediately said no more Chevrolets. Truth is, most cars will do well if properly maintained, but every type of automobile has its lemons.

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Dec 11, 2013 15:39:02   #
Penny MG Loc: Fresno, Texas
 
hondo812 wrote:
The real problem I have with the GM bailout is that it allowed them to drop $1.5 Billion on a factory remodel in Mexico and another $2Billion for a new plant in China. I seriously doubt that bit of business saved many Americans their jobs, which if I am not mistaken, was the goal of the bailout.

Add to that the fact that GM hasn't fundamentally changed their corporate culture which was the reason they were headed for bankruptcy in the first place.

So tell me, what did the American people exactly gain here? Are there more or less jobs for Americans from GM? Did GM reinvest in american plants? Has GM changed their top heavy corporate structure?

While I feel bad for the average Joe that works in the auto industry and their supply chain unless they fixed the sources of the problems within the corporation nothing has changed and nothing will prevent this from happening again. I think they should have let them go through bankruptcy. It would have forced out the clowns running the show. Same goes for the Banks. I mean it's been 5-6 years now and not one of them is in jail and that's not right...Not at all.
The real problem I have with the GM bailout is tha... (show quote)


In my opinion, I really believe you are correct. :thumbup:

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