RE: GM 'Mulls Shedding Saab and Pontiac'
Thursday 27th November 2008
Could Saab go up for sale?Saab could be among a number of brands that are axed by General Motors as part of a cost-cutting plan, it has been reported. Although GM would look to sell companies like Saab, other well-established names such as Saturn and Pontiac could disappear altogether.
GM 'Mulls Shedding Saab and Pontiac'
Iconic brands could be axed in a bid to save GM cash
Could Saab go up for sale?
Hummer is also a badge in the firing line and GM could also look at dropping it in a bid to stay afloat. Selling or dropping brands would undoubtedly save cash as well as reducing overlap in GM’s range. The extreme measures are part of an effort by GM not to run out of operating cash by the year’s end, Bloomberg reports.
Even the suggestion of shuttering the 82-year Pontiac division, one of GM’s oldest, shows how serious GM is about presenting a viable survival plan to Congress on December 2. The report must show that GM can repay federal aid and the company must be seen to be cutting debt levels and reducing costs.
Chief Executive Officer Rick Wagoner has been given a strict deadline by House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid. On December 5 congress has scheduled a hearing on a $25billion bailout plan for the US auto industry and may vote as early as the week of December 8.
GM made its initial investment in Sweden’s Saab in 1990 and took full control in 2000. Despite record sales in 2003 they were understood to be down 31% through October this year.
Discussion
What i do not understand is why any Government should be handing out money to these private companies. If they are failing then tough!
Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
motormania said:
What i do not understand is why any Government should be handing out money to these private companies. If they are failing then tough!
Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
What are you talking about!?? Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
If thousands of people who work in the car industry lose their jobs then they wont be able to pay their mortgages or have any disposable income to put back in the ecomomy causing a knock on effect meaning more people will lose their jobs.
By preventing big employers going under they'll hopefully stop the situation getting worse.
I hope Prodrive buy them.
Or Ford Europe. They make a damn good FWD saloon. Volvo for luxury, Saab for sportiness. They'd corner the Scandinavian car market.
I also hope for the return of the upright, fighter-like glasshouse. In fact they should just sell the design of the 900 to Caterham. Caterham 900 RS300. That'd be a bucking bronco.
Or Ford Europe. They make a damn good FWD saloon. Volvo for luxury, Saab for sportiness. They'd corner the Scandinavian car market.
I also hope for the return of the upright, fighter-like glasshouse. In fact they should just sell the design of the 900 to Caterham. Caterham 900 RS300. That'd be a bucking bronco.
btdk5 said:
motormania said:
What i do not understand is why any Government should be handing out money to these private companies. If they are failing then tough!
Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
What are you talking about!?? Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
If thousands of people who work in the car industry lose their jobs then they wont be able to pay their mortgages or have any disposable income to put back in the ecomomy causing a knock on effect meaning more people will lose their jobs.
By preventing big employers going under they'll hopefully stop the situation getting worse.
SiTheBad said:
btdk5 said:
motormania said:
What i do not understand is why any Government should be handing out money to these private companies. If they are failing then tough!
Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
What are you talking about!?? Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
If thousands of people who work in the car industry lose their jobs then they wont be able to pay their mortgages or have any disposable income to put back in the ecomomy causing a knock on effect meaning more people will lose their jobs.
By preventing big employers going under they'll hopefully stop the situation getting worse.
It is a waste of time throwing government money at these companies as unless they have a radical change of attitude they are destined to fail.
SiTheBad said:
btdk5 said:
motormania said:
What i do not understand is why any Government should be handing out money to these private companies. If they are failing then tough!
Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
What are you talking about!?? Will governments be paying the morgages of all those who loose their jobs in the current climate, of course not.
Companies have been far too focused on what their share-holders want rather than what the customer wants. It's time we tell share-holders where to go, I've never like the way of the city investors anyway!
Will it be a bad thing if half the car industry collapses? Not really...
If thousands of people who work in the car industry lose their jobs then they wont be able to pay their mortgages or have any disposable income to put back in the ecomomy causing a knock on effect meaning more people will lose their jobs.
By preventing big employers going under they'll hopefully stop the situation getting worse.
That does not give these companies the right to piss money up against the walls and then come crying to world governments asking for handouts. There's plenty of other jobs in the market place...
btdk5: so you are quite happy to hand over your hard earned cash to these companies to bail them out. Remember these very same companies have been paying their top brass $£millions over the years - for what?
I never have a problem with CEO's etc earning fat sums of money and securing pensions that we normal folk could only dream about whenn their hard work makes a business successful, but when the companies go tits-up I don't see many top dogs handing back their salaries and pension schemes do you?
That's what pisses me off with all these massive global organisations, privately owned trying to seek public money.
I was the victim of the Internet bubble bursting way back in the yearly 90's when the company I was working for collapse. No one in the media was worried about the 78 people who lost their jobs, so why should I worry about 250,000 + people potentially losing theirs now!
I got over it, found another job and continued to live
Edited by motormania on Thursday 27th November 12:56
If a car manufacturer along the size of GM, Ford or Chrysler goes under then the loss of jobs, the knock on loss of components manufacturers, assembly equipment, tyres, batteries, carpets, windscreens - you name it - all go under.
That means vauxhall - whether you like them or not go under permanently - I doubt the working folk of Merseyside will be happy with that one?
They dont just stop selling cars - they stop paying bills as well - thats what bankrupt means.
So all of a sudden every tyre manufacturer feels the pain - there wont be the level of day to day profit in bread and butter stuff to do the R&D for all the fancier products we petrol heads like to use.
To say that over a million jobs would go pop overnight is probably an understatement.
Oh and by the way Toyota arent doing that well in USA either - although they are one of the biggest manufacturers of SUV and light trucks IN USA!
I would bet that you will see one Global Car brand disappear in each continent. That includes Europe - so I wonder who that will be?
Anyone that thinks that losing any car manufacturer on that scale is a good idea and then suggests there are plenty of jobs in the market place is obviously too young to remember what a recession really is or just isnt thinking anyway.
That means vauxhall - whether you like them or not go under permanently - I doubt the working folk of Merseyside will be happy with that one?
They dont just stop selling cars - they stop paying bills as well - thats what bankrupt means.
So all of a sudden every tyre manufacturer feels the pain - there wont be the level of day to day profit in bread and butter stuff to do the R&D for all the fancier products we petrol heads like to use.
To say that over a million jobs would go pop overnight is probably an understatement.
Oh and by the way Toyota arent doing that well in USA either - although they are one of the biggest manufacturers of SUV and light trucks IN USA!
I would bet that you will see one Global Car brand disappear in each continent. That includes Europe - so I wonder who that will be?
Anyone that thinks that losing any car manufacturer on that scale is a good idea and then suggests there are plenty of jobs in the market place is obviously too young to remember what a recession really is or just isnt thinking anyway.
Maybe it is time to ask a serious question...
Does the modern world need so many different car brands?
Afterall, they borrow from each other anyway, take the Seat Leon... Audi A3 running gear, Golf interior...
Look at Jaguar, cheaper version of Aston Martin.
I think that now might be a very good time to really consider the future of car manufacturing and painful as it might be, look to reduce the number of different brands.
Does the modern world need so many different car brands?
Afterall, they borrow from each other anyway, take the Seat Leon... Audi A3 running gear, Golf interior...
Look at Jaguar, cheaper version of Aston Martin.
I think that now might be a very good time to really consider the future of car manufacturing and painful as it might be, look to reduce the number of different brands.
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