Okay, so 61% of GM is now owned by the US government. The news also reports this morning that GM hopes to streamline its bureaucratic management structure. Okay. Good luck with that! Didn’t you get the news that the fed now owns you? They specialize in bureaucracy. Indeed, they may have invented it. They’re also famous for saying they’re going to cut bureaucracy while increasing it.
Looks like more good times ahead for American autos.
I saw an interesting analysis of how the new CAFE (mileage) standards basically guarantee GM’s demise. Their most profitable vehicles all fail to meet the standards. But unlike Toyota, they don’t sell lots of efficient cars to balance out the big ones. So in order to meet the new standards, they have to stop selling the profitable ones, and shift to small cars where they’ve never been able to compete with Honda and Toyota. And they aren’t allowed to import their own (GM’s) efficient cars from China either. bummer, batman…
Oh, and in order for the taxpayers to get all the money back (as of today), GM’s stock price has to got higher than it has ever been. riiiight…