Autoline on Autoblog with John McElroy

[jamz]

Filed under: GM, Autoline on Autoblog
WHAT IF GM COLLAPSES?

Anyone watching the auto industry these days is acutely aware that General Motors is hurtling towards disaster. It's burning through cash reserves at a rate that will put it in Chapter 11 sometime next year, no matter how much management says "that's not an option." It's still being crushed by its legacy costs, yes, even after concessions from the UAW. And it just witnessed its own finance arm, GMAC, essentially pull out of the automotive lending business.

What was an emergency just a month ago has now blossomed into a full blown crisis. Unless something is done quickly, General Motors could collapse.

This is why we're hearing talks of a potential GM-Chrysler merger, and of a bailout from the Federal Government.

John McElroy is host of the TV program "Autoline Detroit" and daily web video "Autoline Daily". Every week he brings his unique insights as an auto industry insider to Autoblog readers.Continue reading Autoline on Autoblog with John McElroy
Autoline on Autoblog with John McElroy originally appeared on Autoblog on Thu, 30 Oct 2008 16:58:00 EST. Please see our terms for use of feeds.


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