Concerns raised that GM will not survive

Tyr

Tyr

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Nov 27, 2008
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Chief executive received compensation valued at $14.9 million

I guess Wagoner wants to get his "ching" before they show him the door

DETROIT - General Motors Corp.’s auditors have raised “substantial doubt” about the troubled automaker’s ability to continue operations, and the company said it may have to seek bankruptcy protection if it can’t execute a huge restructuring plan.

The automaker revealed the concerns Thursday in an annual report filed with the U.S. Securities and Exchange Commission.

Separately, GM said it gave GM’s Chief Executive Rick Wagoner compensation valued at $14.9 million last year for leading a company that lost $30.9 billion and is running on government loans. But a large part of his pay package is in stock and options that have dropped in value from $11.9 million when they were granted in March of last year to just over $682,000 currently.
 
JLM

JLM

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Would it be the end of the world if they didn't survive? I don't think so, they've already jettisoned "Oldsmobile", so what makes Chev, Pontiac, Buick and Cadillac so sacred? Who knows maybe the workers could band together and take over the company and produce vehicles the public would buy at less cost. The day of the auto giants is gone.
 
Tyr

Tyr

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Nov 27, 2008
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JLM said:
Would it be the end of the world if they didn't survive? I don't think so, they've already jettisoned "Oldsmobile", so what makes Chev, Pontiac, Buick and Cadillac so sacred? Who knows maybe the workers could band together and take over the company and produce vehicles the public would buy at less cost. The day of the auto giants is gone.
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Between Chrysler, Ford and GM.... one of them has to go. They just aren't market responsive and hence the contraction. It will be economically painful for about 3-6 months, but in the long term beneficial to the economy as as whole

Possibly Chrysler and GM will merge (or be forced to merge by the gov't)
 
Scott Free

Scott Free

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May 9, 2007
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Risus said:
The pension plan is the major problem, and you can blame the unioms for that...
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Without unions there would be no pensions anyway.

Unions have done a lot for people. Sure they have problems but history demonstrates that we're better of with them than without.
 
TenPenny

TenPenny

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Tyr said:
Separately, GM said it gave GM’s Chief Executive Rick Wagoner compensation valued at $14.9 million last year for leading a company that lost $30.9 billion and is running on government loans. But a large part of his pay package is in stock and options that have dropped in value from $11.9 million when they were granted in March of last year to just over $682,000 currently.
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Sure. Some guy is paid 15 million dollars to steer a company into bankruptcy.

If I was on the board, I would ask him why he deserved a single dollar of compensation: since he's the one in charge, he needs to be responsible. I work with people like this - when things go well, they deserve all the credit. When things go bad, there's always an excuse.

No sir.

If you are CEO of a company that goes into bankruptcy, or loses billions of dollars, you need to take responsiblity for it. A token salary, say, $120,000/year. Period.
 
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