R.I.P. Scout26
Analysts still see challenges for GM, including the overhang of the U.S. government's post-IPO ownership stake.Other investor concerns include continued losses in GM's European arm -- $1.3 billion over the past three quarters -- and contract talks next year with United Auto Workers.Post-IPO, a union health care trust will keep 13 percent of GM shares with a board seat representing its interests.UAW President Bob King said on Wednesday that he welcomed a high stock price but his workers would not offer new concessions next year.
The nationalists will buy Ford, not Chevy.
Some of the cars look pretty good, but when you come down to laying out 30 grand (or more) you want a sure thing or as close as you can get to it. GM needs to do what the Japanese did aeons ago: win on price until they regain confidence.
There's been a culture shift. What once was baseball, hot dogs, apple pie, and Chevrolet is now pro football, lattes, sushi, and Honda. The nationalists will buy Ford, not Chevy.
The Japanese subsidize their low prices here with artificially inflated prices in their domestic car market, as well as tariffs on imported American cars.They do the same thing but to the nth degree with rice.
The lame thing is that I actually like some of GM's cars and would consider buying one. But with the current ownership structure, I can't in good conscience do that.
With the government subsidy on (for example) the Chevy Volt, you ARE buying at least a piece of one, like it or not, with your taxes.The UAW thanks you, and promises to divert some of your tax money to the 2012 Obama campaign.
The Japanese subsidize their low prices here
http://www.youtube.com/watch?v=xvwTMZNWGuk
My tax dollars at work. They could at least be topless.
I'm curious. Short of people speculating on short term IPO stock inflation, what moron investor this side of the funny farm would put their money in GM stock?
The thing that angers me the most about the GM bailout is that their cars are so shitty, their designers so behind-the-curve, that they have deserved to go bankrupt for decades. The fact that they have been bailed out means that we are stuck with their crap instead of finally being rid of it.