Note: This first appeared in the PJ Tatler.
Last week we cataloged how much General Motors (GM) likes firing people.
As we pointed out, 2009 was not a good year if you were a Republican-donating GM or Chrysler dealer.
(M)ultiple dealers who have been closed are found to have contributed millions to Republicans and mere hundreds to Obama….
“It became clear to us that Chrysler does not see the wisdom of terminating 25 percent of its dealers. It really wasn’t Chrysler’s decision. They are under enormous pressure from the President (Obama)’s automotive task force,” said attorney Leonard Bellavia.
The $82 billion automotive bailout was supposed to “create or save” American jobs. But this Republican hunt killed 100,000 gigs right out of the gate.
And Europe has (again) become a GM employee graveyard.
GM intends to shed another 500 managers in Europe, adding to the 8,000 factory workers let go over the past three years as part of a massive though only modestly successful push to cut costs.
GM is serially throwing people over the side in part as a personnel bailing of the sinking ship. But it appears the Bad Ship Bailout is going down even faster than we knew – or they can address.
Sit back and take in the additional cavalcades of terrible Government Motors news.
Dan Akerson Runs GM With A Tight Fist, But Appears To Be Losing His Grip
Series Of High Level Executions Paint A Picture Of GM in Turmoil
Two weeks ago, Opel chief Karl-Friedrich Stracke presented numbers to Dan Akerson. Akerson fires him. Opel gets two interim chiefs in a week. Last Thursday, Opel’s new design chief Dave Lyon doesn’t even start his job….A day later, global marketing chief Joel Ewanick suddenly leaves. Instead of wishing him all the best for his future endeavors, GM spokesman Greg Martin puts a knife in Ewanick’s back: “He failed to meet the expectations the company has of an employee.”…
It all looks like (President Obama-appointee CEO) Dan Akerson is panicking. The GM stock is at an all-time low. GM is losing market share. When July numbers will be announced this week, GM won’t look so good, industry oracles say. Mass executions always are great to deflect criticism – for a while.
Speaking of that “all-time low” stock:
We are still stuck with 500+ million shares of the stuff. For us to break even, they must be sold at $53 per. They debuted post-bankruptcy at $33 per. They closed on Tuesday at $19.71 per. Setting us up for a nearly $17 billion loss – just on the stock.
Speaking of those “industry oracles”:
General Motors Faces Head Winds Ahead Of Q2 Report
For GM earnings, analysts forecast 74 cents per share, down 52% from a year ago.
Akerson…is getting impatient with the slow pace of GM’s revival.
“Earnings…down 52% from a year ago” isn’t a “slow pace revival.” It is a free fall implosion.
Remind you of anything else?
U.S. Growth Falls to 1.5%; a Recovery Seems Mired
GM is “recovering” – like the entire Obama Economy is “recovering.”
And more and more, the GM jobs “created or saved” are in…China.
32% of first-quarter vehicle productions is going to be in China versus 30% in North America.
That would be Communist China. Where Shanghai GM in 2011 sponsored a movie celebrating the “Glorious Revolution”s 90th Anniv....
To duck the deserved criticism:
Greg Martin, executive director of communications strategy for GM, told The Daily Caller in May 2011 that Shanghai GM “is a completely separate and distinct business entity based in China that has no organizational or financial ties whatsoever” with the Detroit car maker.
“It is not GM,” Martin said then. “It is not GM money. And it is in no shape or form, or indirectly, taxpayer money.”
But now that ever more of its sales are in China:
“Shanghai GM is GM,” Martin told TheDC on Friday. “We make money, they make money.”
Disingenuousness in fact abounds when it comes to the Obama Administration and GM.
President Obama once upon a time told us we would make money on the $82 billion auto bailout. Which was then amended to:
“The government will lose less than 20 percent of the $80 billion used to bail out the U.S. automobile industry.”
Only now we’re poised to lose (at least) $42 billion. And as we’ve seen, that number is serially fungible – always upward. And reliant on Administration-provided data. It will undoubtedly end up being even worse.
GM and the Obama Administration claim to have fixed the Chevy Volt fire problem – when there are at least five fires and a whole host of attending Volt charging pro....
President Obama continues to incessantly claim that GM is #1 in global sales – even though Toyota has now recovered from their post-tsunami devastation and reclaimed the top spot.
President Obama in April 2010 asserted:
“It won’t be too long before the stock the Treasury is holding in GM could be sold ….”
And on, and on, and….
GM is allegedly an Obama Administration “success.” This is the President trying his plan, and it “working”.
Yet it’s all smoke and mirrors – when it’s not outright lies.
Welcome to Campaign Obama 2012.
Comment
Comment by Curt Brockhaus on August 6, 2012 at 7:53pm The past 7 presidential administrations were heavily skewed to the south and California. Texas, Arkansas, Georgia and California. Kennedy didn't serve a full term. GM bankrupt was only a symptom of problems left over from the cold war... http://curtb.webs.com/
Comment by Lawrence Brown on August 5, 2012 at 2:52pm Doug: Our military can remove him,Sheriff Joe could if we the people would back him up. Or we the people could arrest him if we decided to fight for our country.
Comment by Phil McConathy on August 5, 2012 at 1:29pm Stop ALL bailouts. I am so mad over the GM bailout and resulting taxpayer losses I will NEVER buy another GM product EVER! Funny how they never talk about how 70% of GM products are made OVERSEAS. Also they are building 6 or 7 new GM plants in CHINA! How about outsourcing on steroids. Taxpayers will NEVER get our money back. This was nothing more than a saving of the United Autoworkers Union. Sad state of affairs. I am hoping for a major CHANGE in DC in November. Anyone else with me on this one!
Comment by Malcolm H. Rudd Jr. on August 4, 2012 at 2:55am No more bail outs. Screw GM and the President. We don't have the money to take it over without printing more. Nobody has bail me out or paid my bills. Congress should refuse to fund any bail outs and if they do support one, then it's time to kick them out of office.
Comment by Edward M. Plitt on August 3, 2012 at 3:22pm Government Motors, commonly known as Obama motors is finished. This is what happens when the Gov. takes a business away from the share holders who own it and gives it to the UAW union whose members have done everything in their power to put the company into Bankrupts. Now that they own it I am delighted to see them with the shoe on the other foot. This company is going under just like all of Obama's investments. It's just a shame that the tax payer will be left holding the bag (a huge debt). Good by GM it's just a matter of time.
Comment by Gwen C. on August 3, 2012 at 2:15pm 
Comment by Joseph DeLuna on August 3, 2012 at 11:57am GM Is Toast!
Comment by Rich Knoch on August 3, 2012 at 11:18am It took the Communists in Russia many decades to admit that control of the economy means failure of the economy. obama and his minions have not learned this lesson.
Throw them out November 6th . . . . or we lose our nation for decades!
Comment by Robert M. Hellen, Sr. on August 3, 2012 at 10:59am Obama has done more damage to this country than Hitler ever could have in his wildest dreams. In my 75 years on this planet I have never witnessed anything like this! Just my opinion and I'm stuck with it.
Comment by JOHN DELASAUX on August 3, 2012 at 10:19am Premier Obama has proved conclusively that the Socialist Model doesn't work.
It didn't work in the Soviet Union, and it isn't working here.
Why the surprise?
The sooner we get Premier Obama out of the White House, and get Obama-ites out of management in GM, the sooner GM can save itself for the Socialist Scourge.
© 2013 Created by Judson Phillips.
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