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Chrysler is already gone, Cerberus made sure of that. The US government will not fund a bailout of Chrysler when it is owned but a private equity firm with cash. Cerberus could make a go of Chrysler its just they never wanted to.
The problem here is GM needs chapter 11 legal protection, then and only then would I back government loans to help them restructure and shed brands/dealers/UAW. If we just give them 20 billion it will be wasted.
The average Joe will see GM and Chapter 11 and say “what the hell?” even though this has been years in the making. Then the politicians will say we need to save Detroit and American jobs and we will throw good money after bad.
Mark my words Chapter 11 is the only was GM can rise from the ashes of mismanagement and largess of its past. I very much want a Camaro in a couple years but I won’t buy from a bankrupt manufacturer unless they are restructuring properly and my warranty is backed by an independent authority (oh and huge incentives would help too).
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