Is this true? General Motors At Critical Risk Of Going Out Of Business?

Robert59

Robert59

Well-known Member
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Now I live in Tennesee. Did live in Michigan.
General Motors is known for its innovative cars and efficient engineering. As one of the long-standing American car brands, many believe that its a company that will outlast any market fluctuations. Recently, though, General Motors took a surprising dive in its net income according to its second quarterly report. The automotive company fell 40% in net income from last year due to a combination of manufacturing and economic factors.

https://www.tellmebest.com/general-motors-going-out-of-business/
 

Robert59 said:
Is this true? General Motors At Critical Risk Of Going Out Of Business?
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I kind of doubt it, went through this once before and the government bailed them out, if necessary it will probably happen again. General Motors Chapter 11 reorganization

I got the best deal I have ever gotten on a new truck last time around, maybe that will happen again!
 
We live in new times, so things happen that were unthinkable 50 years ago. There are a lot of excellent car manufacturers out there that compete with GM. There were a lot of car manufacturers when I was a kid that no longer exist. But there was a short period where these other manufacturers died silent deaths. Well silent to me, anyway, because I was 6 years old. And then you either bought a Ford or a Chevy.
 

I remember back several years ago now when GM was the world’s largest company. Then, Exxon took the top spot. I guess the old adage of “What goes up always comes down” is usually true.

When I graduated from college, I served my internship at GM in Cleveland, Ohio and Flint, Michigan.
 
Wouldn't be a surprise really, although I surely hope not. So many people running to imports . If you remove that percentage of sales .... that is a big hit. On top of that, the UAW has become a protection organization [protecting those that do not want to work] and that is a costly combination.

Why do you think the the import manufactures that have opened plants in this country fight so hard to keep the unions out ?
 
terry123 said:
I don't think we should keep bailing out car companies. If you don't learn the first time then its on you.
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I agree for the most part ..... Problem is there are so many people employed by the auto companies , the states & the fed can't really afford the tax revenue loss. And the tax loss paid by the company itself. So it is in their best interest to keep them going. Kind of a catch 22.
 
According to their second-quarter report, shares for General Motors are selling for $1.14 each, which is less than Wall Street’s expectations of $1.27.
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That statement in the article is incorrect. General Motors reported $1.14 income per share against an expectation of $1.27. Shares are currently at $35.72.

I cannot say whether GM is going down the tubes, but they reported a net income and not a net loss. In 2008, they could not pay the light bill, so to speak.
 
Robert59 said:
General Motors is known for its innovative cars and efficient engineering. As one of the long-standing American car brands, many believe that its a company that will outlast any market fluctuations. Recently, though, General Motors took a surprising dive in its net income according to its second quarterly report. The automotive company fell 40% in net income from last year due to a combination of manufacturing and economic factors.

https://www.tellmebest.com/general-motors-going-out-of-business/
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I heard stories that dealerships couldn’t get chips for the computer systems. It was also printed online (Forbes, I believe) that the foreign producers were able to keep up with demand more so than the domestic manufacturers. True or not, I don’t know. I don’t believe everything that I read online.

I have been a GM guy my entire life and don’t plan on changing now. It’s a habit I picked up from dad, who was a Chrysler-Plymouth fan. His last car was a Plymouth Fury. It was a beast.
 
Harry Le Hermit said:
That statement in the article is incorrect. General Motors reported $1.14 income per share against an expectation of $1.27. Shares are currently at $35.72.

I cannot say whether GM is going down the tubes, but they reported a net income and not a net loss. In 2008, they could not pay the light bill, so to speak.
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Didn’t Obama buy the company and then close the doors, so to speak?
 
oldman said:
Didn’t Obama buy the company and then close the doors, so to speak?
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The big bailout also included Chrysler. GM has a long history of excess inventories and when sales plummeted in 2008, they did not have operating income to pay creditors, suppliers, etc. Credit markets were so tight, there was no one lending money to GM, to bridge that excessive gap. Ford had procured a loan guarantee prior to it hitting the fan, for a completely different reason. Otherwise, they would have gone down as well.
 
How long is GM's factory warranty? A. The standard factory bumper-to-bumper limited warranty on Chevrolet and GMC vehicles is three years or 36,000 miles, whichever comes first. It is four years or 50,000 miles for Buick and Cadillac models.Apr 12, 2022


Hyundai Warranty Coverage | America's Besthttps://www.hyundaiusa.com › america-best-warranty
10-Year / 100,000-Mile. Powertrain Limited Warranty. New Vehicle Warranty ; 7-Year / Unlimited Miles. Anti-Perforation Warranty. 24 Hour Roadside Assistance ; 12- ...
Hybrid/Electric Battery: 10 Years/100,000 Miles
Hybrid Power Control Unit: 10-Year /100,000 ...
Hybrid Starter/Generator: 10-Year /100,000 Mil...

Maybe buying long term value has something to do with the rumor.
 
This dyed in the wool proud U.S. citizen feels that since 99% of worthless overpriced American vehicles are assembled elsewhere so to Hell with GM. Long live Nissan.
 
FastTrax said:
This dyed in the wool proud U.S. citizen feels that since 99% of worthless overpriced American vehicles are assembled elsewhere so to Hell with GM. Long live Nissan.
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Another car maker with an excellent warranty. My son has one that has over 100,000 miles & the only repairs needed were batteries & spark plugs.
 
The auto industry is always the indicator of coming economic trends, so maybe something is in the wind.
And not having chips for your cars seems like a lousy excuse. You'd think GM would have a backup plan for such a vital component. Stuff happens, and it sounds like poor planning, considering normal chip production has been out for 4 years. And we have enough chips for millions of phones????????
 
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Knight said:
How long is GM's factory warranty? A. The standard factory bumper-to-bumper limited warranty on Chevrolet and GMC vehicles is three years or 36,000 miles, whichever comes first. It is four years or 50,000 miles for Buick and Cadillac models.Apr 12, 2022


Hyundai Warranty Coverage | America's Besthttps://www.hyundaiusa.com › america-best-warranty
10-Year / 100,000-Mile. Powertrain Limited Warranty. New Vehicle Warranty ; 7-Year / Unlimited Miles. Anti-Perforation Warranty. 24 Hour Roadside Assistance ; 12- ...
Hybrid/Electric Battery: 10 Years/100,000 Miles
Hybrid Power Control Unit: 10-Year /100,000 ...
Hybrid Starter/Generator: 10-Year /100,000 Mil...

Maybe buying long term value has something to do with the rumor.
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How many people keep a vehicle for 10 years? Probably not too many. My wife changes cars every 2-3 years. She does well with trade-in value. She keeps the DMV busy.
 
We tend to drive ours till the wheels fall off. Got 3 cars, one a 91 Jeep, a 2006 Escape
and a 2014 Caddy CTS coupe. The Jeep and Caddy are considered "classics" so we have super economical full coverage insurances on them.

Hey, we're people who "name their cars"...they're part of our family, lol.
 
oldman said:
How many people keep a vehicle for 10 years? Probably not too many. My wife changes cars every 2-3 years. She does well with trade-in value. She keeps the DMV busy.
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We do. My sons do mostly because with proper maintenance keeping for 10 or more years & investing what would be car or lease payments, when a vehicle does need to be replaced. Using the old car but still with some value & cash owing new plus having some investment money still in place makes sense to us.

Not everyone has the will it takes to invest in order to be debt free when a new car is needed.
 
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