[GTAHVIT]

Originally Posted by Can-Am

Ok. What would be your prescription for GM? What, if anything, do you think is wrong with GM and what should be done about it?

Let me be clear, I said that I believe GM is better qualified, as a company, than the Federal Gov. is to make GM sustainable. I am certainly not qualified.

So with that in mind, I feel that GM's plan was the right one. And In my defence, No one had a problem with GM's plan until the current administration decided to intervene. So, yes I question the decision of the federal Gov. to get involved in the restructuring of GM. I understand that CEO and BOD sometimes must take the fall. After having served in the Navy, and watching a highly decorated Capt. of an aircraft carrier, who didn't loose a single sailor, or plane, had Zero collateral damage to non military targets, get relieved of command because his LT was on the bridge when a 19' pleasure boat got too close and was capsized by the carrier's wake. The Capt. was taking a nap after being on the bridge for 36 hours straight... He had to take responsibility for what happened... Is it fair? No. So, I get it that Wagoner and the board were removed. I don't agree that it is the government's place to make that call. But that is irrelevant at this point.

Originally Posted by Can-Am

Personally, I think the benefit structure set up by GM has to go away. That really can only be done through bankruptcy or at least the threat of it.

I agree and GM's plan to restructure accounted for that very problem.

Additionally, You must have cooperation from the Unions to address that. Much like the AIG bonuses. GM is under contract to pay out those benefits. Without the Union's acceptance of the "threat" the Gov is placing upon them it's just a threat with no real teeth.

And since when did a threat become a viable strategy against any organization this size of the Union or GM... Everyone involved in this knows that threats are to get the observer to form an opinion. It has nothing to do with getting the goals accomplished. Do we really think the Union and GM are going to cave to threats now? So, in that we disagree. Save the threats and just send them to bankruptcy if that is what the gov wants. I'd rather have that then a federal approach to restructuring a private company.

Originally Posted by Can-Am

I think Chevy and Cadillac are viable entities; I think Hummer, Saturn, etc. largely are not. The best way to preserve Chevy, and by extension the Camaro, is through this process. I think it could've been avoided but there was no way any bank would ever lend to GM to finance a reorganization, not given the banks' financial troubles and not given GM's already shaky financial status. If this was happening in 1999 or 2002, no way would the government need to get involved. The private free market would've solved the problem.

I agree completely. However, this is bigger than our camaro. I'd easily sacrifice the camaro to see our government stick to what it does best. I know that sounds harsh but I truly feel that way.

Originally Posted by Can-Am

I do not think a protracted court battle that takes place for the next 3-4 years is a good idea because 1) the outcome is unpredictable, which would further damage GM's reputation with consumers if anything actually survives, and 2) a bankruptcy court judge is as not well-equipped to do a reorganization (as opposed to just liquidating the whole thing) as a group of people, private and public (people forget that debtholders, management and other stakeholders have a large say. Even if Wagoner was deposed, these groups are definitely not just along for the ride. They would've raised unholy hell if they were cut out of the process).

I want structure and therefore I place the bankruptcy laws way ahead of a Gov. appointed committee handling the survivability of GM.

Again, my preference is Let the new CEO and BOD get a chance to continue down the road on their own. Then go to bankruptcy, then get the Congress and Senate involved, then bring in the white house... That is how this is supposed to work. But the white house being directly involved is not the way our federal system is designed. I'm not going to speculate here why the white house has jumped ahead of the line. But I don't like it.

Originally Posted by Can-Am

btw I also work for the federal government. The lawyers here are a damn sight sharper than a lot of private attorneys I know personally. That's why I have more confidence in the government than most people here.

I have exceptional confidence in our government, even when I don't agree with them. But, my confidence is limited to what they are designed to do. Not a situation like this. Just putting powerful people in charge of a problem is no guarantee that it will fix the problem... More often than not well informed people will fix it. As I've said throughout. My opinion is that GM is the most well informed at this time. Again, Nobody was against their plan until the white house got involved. When did they become experts? Just because you have the power, doesn't mean you should always use it.

Again this is all my opinion.