Wagoner Isists No Bankruptcy For GM; Losses Will E

[Guest Josh]

DETROIT, Jan. 6 - General Motors expects to reduce the billion-dollar losses at its struggling North American operations this quarter, as its cost-cutting efforts take effect, G.M.'s chief executive, Rick Wagoner, said today.

Speaking in a rare interview with a small group of journalists at G.M.'s headquarters here, Mr. Wagoner declined to say when the automaker's North American operations would return to profitability.

But he did emphasize that G.M. had no plans to file for bankruptcy protection. And Mr. Wagoner said he anticipated that stronger sales of new vehicles, including a restyled group of sport utility vehicles, combined with the company's restructuring should begin to bolster G.M.'s financial results early this year.

"That is my hope, the first quarter," Mr. Wagoner said. He added the prediction had to carry "an asterisk" because it did not include any charges G.M. might take for restructuring.

Mr. Wagoner's comments came on the eve of the North American International Auto Show , which opens to the news media here on Sunday. G.M. plans to introduce several new vehicles at the show and will give details of its strategy to produce more hybrid-electric models.

Full Story: http://www.nytimes.com/2006/01/06/business...artner=homepage

The name Michelle Maynard should read familiar to those that have been visitors & members of C&G for quite sometime. I find it odd that after writing such a book as she did on General Motors she would be so inclined to cover them any longer.

[thegriffon]

This is the bit that will have many happy: "Mr. Wagoner … announced that the automaker would close all or part of 12,000 plants"

[Teh Ricer Civic!]

This is the bit that will have many happy: "Mr. Wagoner … announced that the automaker would close all or part of 12,000 plants"

12,000 plants eh?

[Ghost Dog]

that the automaker would close all or part of 12,000 plants and eliminate 30,000 jobs through 2008.

Wow thats 2.5 employees for each plant! I wonder what the Vehicle per hour rates were?

It'll be high seas for GM till 2008. If Lucky(07 goes well) they'll hit clear water then.

[Ghost Dog]

This bit. Remeber it when programs get cut.

Nor would Mr. Wagoner say whether G.M. planned to cut its dividend, a step analysts said would prove G.M.'s determination to reduce its spending.

[JazzyChef]

When Wagoner can pull off his first quarter with no losses, i'll give him props. Till then I have a hard time believing a word that he says. Although with the autoshow here, i'm starting to feel a lot of optimism for GM. I do think that 2006 will be the turnaround year for GM. I still don't think it will happen till around July or august of this year though.