GM files to sell shares to the public

[a_Username]

Originally Posted by Sax1031

Ford has been paying off their debt aggressively.

The only way the debt hurts them is if the economy goes back to the shitter.

No doubt that they have, but it all depends on rather or not they can continue on this momentum as well as the economy not slipping anymore; both are huge uncertainty's.

[SA CHEVY]

A few thousand is a small investment for a possible big return...you gotta risk it to get the biscuit!!

[All-Or-Nothing]

Originally Posted by a_Username

No doubt that they have, but it all depends on rather or not they can continue on this momentum as well as the economy not slipping anymore; both are huge uncertainty's.

You must think that everything Ford makes goes straight to debt and there is no leftover for anything else. Ford has over 25 Billion in cash on hand. They also have has their credit ratings increased. Ford's road ahead isn't as rocky as you beleive it to be.

[Sax1031]

Originally Posted by All-Or-Nothing

You must think that everything Ford makes goes straight to debt and there is no leftover for anything else. Ford has over 25 Billion in cash on hand. They also have has their credit ratings increased. Ford's road ahead isn't as rocky as you beleive it to be.

Baring the economy falling off the cliff, or stumbling pretty badly, Ford is doing pretty good.

[BUMBLE B]

Invest in Pirelli....they get to rip me for 2K for tires....only ones that make 21's. BTW both front 21's have bubbles in sidewall. No I didn't speed-bump 'em....it is a decade problem with high and low profile Pirellis. Glad I got the stupid tire insurance...I think?

[a_Username]

Originally Posted by All-Or-Nothing

You must think that everything Ford makes goes straight to debt and there is no leftover for anything else. Ford has over 25 Billion in cash on hand. They also have has their credit ratings increased. Ford's road ahead isn't as rocky as you beleive it to be.

Umm... not all of it goes straight to debt payment. They need to have cash on hand to fund operating the company, consequently the reason they mortgaged themselves to the brink was to attain cash on hand to run the company and endure the tanking industry. You seem to be missing this fact; they can't simply use all their cash to immediately pay off all of their debt. They have to ration it and make payments when they believe they can, considering even if they did decide to use all of their cash it still wouldn't be enough to pay off all their debt. Their credit ratings are increasing but are still very risky for any lender to invest in, thus their access to credit lenders is tight. Again, all this is dependent on the economy working in their favor.

[Sax1031]

I remember they when Ford made the deal to get that money. It was nearly universally called a bad idea.

It was actually brilliant.

[a_Username]

Originally Posted by Sax1031

I remember they when Ford made the deal to get that money. It was nearly universally called a bad idea.

It was actually brilliant.

Brilliant... more like necessary. They made the necessary moves at the right time, considering they foresaw the coming woes and prepared for it. GM and Chrysler did not see this inevitability, and if it wasn't for certain external factors they would not exist right now. Ford showed nothing short of survivability without government intervention, and for that I applaud them.

[All-Or-Nothing]

Originally Posted by a_Username

Umm... not all of it goes straight to debt payment. They need to have cash on hand to fund operating the company, consequently the reason they mortgaged themselves to the brink was to attain cash on hand to run the company and endure the tanking industry. You seem to be missing this fact; they can't simply use all their cash to immediately pay off all of their debt. They have to ration it and make payments when they believe they can, considering even if they did decide to use all of their cash it still wouldn't be enough to pay off all their debt. Their credit ratings are increasing but are still very risky for any lender to invest in, thus their access to credit lenders is tight. Again, all this is dependent on the economy working in their favor.

ummmm.......no I haven't missed that fact. Of course they can't immediately pay off their debt. That would be just stupid. It's not like an average person who just decides to pay off their credit cards.

I have 85,000 shares of Ford right now and got in when it was really low. Believe me I know what to look for and research and that is why GM is too risky for me right now.

[All-Or-Nothing]

Originally Posted by a_Username

Brilliant... more like necessary. They made the necessary moves at the right time, considering they foresaw the coming woes and prepared for it. GM and Chrysler did not see this inevitability, and if it wasn't for certain external factors they would not exist right now. Ford showed nothing short of survivability without government intervention, and for that I applaud them.

Can we call it Brilliantly Necessary or maybe Necessarily Brilliant

[a_Username]

Originally Posted by All-Or-Nothing

ummmm.......no I haven't missed that fact. Of course they can't immediately pay off their debt. That would be just stupid. It's not like an average person who just decides to pay off their credit cards.

I have 85,000 shares of Ford right now and got in when it was really low. Believe me I know what to look for and research and that is why GM is too risky for me right now.

Then I guess I misunderstood you when I thought you assumed I knew nothing about Ford's or GM's current positions in the market. But seriously, I don't why you would have that many shares in Ford, but you deem GM to risky?

[All-Or-Nothing]

Originally Posted by a_Username

Then I guess I misunderstood you when I thought you assumed I knew nothing about Ford's or GM's current positions in the market. But seriously, I don't why you would have that many shares in Ford, but you deem GM to risky?

I truely have faith in what Ford is doing right now considering what they have been making for the public and a lot of different areas concerned with their business. Don't get me wrong. I hope GM does suceed even if only for the taxpayers money but the bigger picture to me says to be very cautious concerning GM stock.

[Sax1031]

Originally Posted by diddiyo

i like this comment on jalopnik:

"So what's the formula for how many shares we get of this IPO based off of our 2009 taxes?"

It was good for a slight chuckle.


And good for GM.

[Sax1031]

Originally Posted by a_Username

It's hard to say that taxpayers "invested" in GM. Taxation is forced removal of funds, and the money in this case was merely redistributed to GM.

It still came from the taxpayers.