Thursday, October 23, 2008

Wachovia Posts $23.9B Loss...Now Looking Ready To Make Cars

I thought losses like that were reserved for US auto manufacturers.

Although my analogy works better the other way around. GM is looking for a bailout as well.

A top General Motors executive said Thursday that automakers were “deserving” of as much as $50 billion in government-backed loans so that they can build more fuel-efficient cars.

And since that went so well, GM went hunting for cash the old fashioned way. Begging.
Cash hungry GM may go to Congress for some extra needed cash to move towards a possible acquisition of Chrysler LLC. According to a person familiar with the financial side of the deal, said that GM is looking to go as the government to help it purchase Chrysler although he is not sure if the General had approached the government as of yet.

And finally, we can't forget about threatening from a position of weakness. GM has said it will dump all of it's retirees on the US taxpayer, should it run out of cash.

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