http://www.washingtontimes.com/news/2015/apr/15/gm-bankruptcy-worth-billions-faulty-ignition-switc/ Stupid corporation protection racket. The judge is (sadly) correct, it's the deal the government made for political reasons that is at fault. No company should ever be bailed out by the government. This is what you get when people can cheat and cheat and then claim federally protection.
bk always does that.... nothing special about this one I think it's wrong, but it's true regardless if corps are people, they should be treated like people.... does bk protect your or I from a wrongful death case? .
The bailouts were a dark time in US history. I can't believe the amount of public funding that gets funneled to mega corporations. What can an individual do about it, though? We can still have a government, just stop electing mobsters. The Ds and Rs are the two mafia families of the USA.
The auto bailouts were a disgusting Obama seizure of power. He abrogated BK laws and empowered unions. And let's not forget that GM was gifted with something like $50 billion in forward tax credits, a cost the proponents never willingly account for. I'm never buying a car from these mobsters. NEVER. Screw Obama. Screw GM.
Get your facts straight, it was not a "bailout" - it was a bankruptcy reorganization. The General Motors (GM) Chapter 11 case was filed at the height of the economic recession; and there were no banks or other commercial lenders that could provide the DIP (Debtor in Possession) financing necessary to continue business operations during the reorganization proceedings; and without the government assistance (and that of Canada as well) GM would have been DOA (dead on arrival) on the first day, forcing the liquidation of the company, and loss of thousands of jobs as happened in the Circuit City bankruptcy that cost over 35,000 jobs. The liquidation of GM would in turn precipitate the failure of hundreds of related industry manufacturers and suppliers resulting in a flood of business bankruptcy cases across the country, and loss of millions of jobs.
you cannot make that claim as re-org was never attempted. The issue was to keep the union hacks whole and not have the existing contract be nullified which is what would have happened in bankruptcy. Many companies continue to operate and even later emerge from Chapter 11. There was no need for liquidation of GM and it's purely specualtion on your part and a talking point used to try and suggest that the demand for ANY automobile would cease as well as the demand for workers if GM disappeared overnight. There was no value to the US citizen to assist GM. There was value to unions and politicians
they got a better CEO, and he saved them. They got a BUNCH of new, loyal customers out of the deal, too. Many people saw that Ford, at the price at the time, was going to make them a ton of money on short term options and that is what occured, as in 10x their money back. That's the sort of thing that happens only once every 10 years or so, so investors have to be watching for such opportunies and have the funding to jump in big time, with enough money to make that ten-fold increase in value MEAN something, as in at least 20k to invest. 20k that is "risk" money, meaning you can afford to lose it. You;'ll pay 60k of your 180k profit in taxes, and if you didn't know to invest as a corporation, you'll pay another 27k in self employed SS, too. so your 10 fold increase does not really mean all that much, until you are swinging into thing with 100k or more. THEN a 10 fold increase can mean that you can retire, if you know what to do with your profits.
I now own 2 Ford products (in addition to other mfrs) and will never step foot into a GM showroom. I will buy foreign before I would buy GM
Wrong! It could have been sold at a bargain to successful corporations like Ford. How was GM formed? By struggling or failing auto mfrs. who merged resources. Opel survived the depression by joining GM. Plus the fact that even if they did shut down completely,the other car mfrs. would have increased sales due to the gm void, so there would be no 'massive job losses'.
