GM Being Prepped for Bankruptcy Next Week

So you may think the government is going to run GM and Chrysler… you may be right.

The Obama administration is preparing to send GM into bankruptcy as soon as next week (May 25^th- 29^th). Under the plan it would include an additional injection of $30 billion in capital. What’s another $30 billion compared to the billions already spent to bailout other companies right?

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Chrysler Will Shut-Down 789 Dealerships by June 9th

It is a gloomy day for many Chrysler Dodge Jeep dealerships around the U.S. today!

DETROIT — Chrysler LLC notified its U.S. retailers today about its plans to shut down 789 dealerships, or 25 percent of its total, by June 9th.

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What Does The Chrysler Bankruptcy Mean? w/Poll

Are you wondering what will happen to Chrysler after Chapter 11 Bankruptcy?

If you have not heard already or you live under a rock, Chrysler has filed for bankruptcy and announced a deal with Fiat S.p.A. We have compiled a list of points briefly describing what will actually happen to Chrysler during and after the bankruptcy. We have included a voting poll allowing you to participate and let us know what you think will ultimately happen to Chrysler.

Below is a list of highlighted points of what will happen to Chrysler during and after bankruptcy.

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GM Plans to Shut-Down Plants For The Summer

At this point, there is no doubt in my mind; GM will be filing for bankruptcy soon. Confirmed by various sources, GM cannot file until after sometime in June of this year. General Motors is looking to conserve every last bit of the money that they have. With the date for them paying back the $1 billion is closing in on them they realize that it simply cannot be paid back. It has been reported that GM plans to idle most of its domestic plants this summer for as long as nine weeks. GM employees will be notified before any official announcements or moves are made towards the idle. It is expected that staggered closures could start as early as May.

Many fear that this could cause a trickle-down effect on the automotive suppliers who are trying to hold-on until some sign of relief or growth in the economy.

WE will all have to literally RIDE this one out and see what takes place.

What do you think? Will GM file bankruptcy in June? Should they?

GM Bankruptcy Woes: GM Prepping for Bankruptcy and New Offer to Bondholders

No doubt that the majority agree that GM filing Bankruptcy would not be such a bad thing. Many support the idea that bankruptcy would “force” them into restructuring and emerging as a better and much more profitable company. Lately GM set into preparation to give a new offer to bondholders for a debt restructuring critical turn around that could be worse than the previous terms set by the automaker.

GM is actually preparing for bankruptcy as the outlook points more towards them doing such a thing. Restructuring alone is simply not good enough says the majority of tax payers who do not wish to bail them out mainly because of the poor decision making over several years of operation.

What will they do? It is possible GM will file and then eliminate several brands. Don’t worry, your GM car will still be covered under the current warranty terms and agreements if GM files for bankruptcy, even that part is backed by President Obama. What do you think GM should do at this point? File bankruptcy and restructure? Sell off a few brands? Eliminate a few brands? Build better cars? Close shop? Apologize to the customers? Build a bunch of Chevy Volts?

Tell us what you are thinking! Post your comments below!