The Treasury Department is preparing a bankruptcy filing for Chrysler, the New York Times reports, though it wasn't immediately clear how serious the Obama Administration is about following through with that plan.
Chrysler, one of the Big Three U.S. automakers, has been hit hard by the economic downturn and has continued to struggle despite receiving $4 billion in federal aid....
[8D]geeee i coulda used that 4 billion more wisely....
I can't help but wonder how they can continue to do business. What supplier will give them things to work with unless it's cash up front? Anyone who does should be seriously looked into. Unless their brain dead I couldn't see any other reason than something illegal.
Unless this company has ethics like the rock of Gilbralter the product they are putting out is likelynot a very good one. I wouldn't pay anymore than 5 grand for one of them these days and then I'd have to talk myself into it.
The real problem here is the fact that Obama has already guaranteed the pensions for the auto workers. We will be paying a lot of money to these guys instead of the real process working out in bankruptcy court.[:@] Canada auto workers have already agreed to concessions but the American workers won't because they have a great deal no matter what happens.
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John Adams “The moment the idea is admitted into society that property is not as sacred as the laws of God, and that there is not a force of law and public justice to protect it, anarchy and tyranny commence.”
Ronald Reagan: 'Everybody that is for abortion has already been born'
"I never said I was worth it. I only said I wouldn't do it for less " William F. Buckley Jr.
Forcing Chrysler into bankruptcy court, which would almost certainly wipe out both the UAW retirees and the creditors who hold $6.9 billion in Chrysler debt, would send a powerful signal to the stakeholders in the much larger General Motors that unless they make major concessions the Administration is ready to see them go into Chapter 11 also. Maybe this is why Chrysler was given only one month to restructure while GM was given two months. If the parties could not come to agreement, forcing Chrysler into bankruptcy would provide some motivation for the GM stakeholders. However, I do not think that under any circumstances that the UAW or the bondholders will agree to terms that would allow GM to become competitive in the market and that company will end up in bankruptcy court as well.
Location: On an Island in the west coast of New England
Posts: 13,133
RE: Buh-Bye Chrysler ?
It all worries me. Chrysler going bankrupt, Ford with record loses and just today saying they are in deep trouble too and GM shutting down for up to 3 months over the summer and about to file Bankrupcy. So where does a guy go for his nexttruck? My 2007 Silverado is practicly worthless due to all this. I guess a Toyota would be my next ride.
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Too busy with fishing to spend much time here.
If there is a demand for a product someone will supply it. Even if GM, Ford and Chrysler go bankrupt, Toyota and Nissan will still continue to offer full size trucks as long as there is adequate demand for them. If no one can make money building them, then they will vanish from the market. A major problem for consumers is if the number of suppliers of full sized pick-up trucks went from 5 to 2 is that buyers would have considerably less leverage when negotiating a sale.
By the way, why would a 2007 Silvarado be almost worthless? As I understand it, the Government will make good on your warranty even if GM does go bankrupt. It might even increase in value if you kept it long enough since there will be no new supply of them, Silvarados will become unique.
Let me say this to what people are saying we can always get Toyota or a Nissan. I live in Montana and own a ranch-Farm and I have never seen a Toy or a Nissan hold up to true farm work like hauling cattle all day.
So tell me what are people like me going to get? I need a real truck to do work with not a wimpy little *** truck.
Buh-Bye Chrysler ?
