sunset from behind the wire

sunset from behind the wire

Saturday, May 9, 2009

General Motors - Bankruptcy


GM lost $16 billion dollars in the first quarter with its cash reserves having been all but expended. There is no saving GM as it presently exists.  It might once have been the US Economic Engine but it's not anymore. All glory is fleeting (sic transit gloia mundi)

GM lost $6 billion in the first quarter and the company's sales around the world fell 40 percent. Making matters worse revenue was cut nearly in half. What causes the greatest concern is the $10.2 billion in cash that G.M. depleted in three months, the equivalent of $113 million a day. That is nearly twice the company’s rate of cash burn in the fourth quarter of 2008.