evok

http://en.wikipedia.org/wiki/General_Motors External links Official Website GMAC Financial Services GMability, GM's corporate responsibility site GM's K-12 education site GM's Fastlane Blog Corporate history GMInsidenews GM Enthusiast forum General Motors Holden VL Turbo Cheers & Gears GM Enthusiast forum

I agree and in one of my rants from months ago I said, "GM, Ford and DCC are not run like businesses but welfare systems for their retired employees." The institutional problem is the US government is leveraged as bad as the US Big 3. Even the Medicare prescription plan that takes affect shortly which was designed to eleviate some of the health care burden on these companies is not funded. With ongoing problems in Iraq that do not appear to be moving in the right direction and the US will have to continue to fund, the aftermath of Rita and Katrina, inflation potential because of fuel prices that, all contributing to a possible slow down in the economy, there is no easy solution to fix significant structural problems in the US economy. Short term solution will have to be for the government to raise the employee tax on corporations which would be the most fair to pay for SS, medicare and Pension Benefit Guaranty Corp. obligations. Does anyone think that will happen with the current administrations adversion to tax hikes?

You are correct again! :lol:

You are correct. Lambda was not bnoxer compatible.

Yea - But Suzuki and Daewoo are actually making money and growing global volume for them.

http://www.detnews.com/2005/autosinsider/0.../A01-344612.htm "Don Thomas, a skilled tradesman at a Delphi plant in Rochester, N.Y., said he didn't have the energy to face his job Monday, knowing so many questions swirled overhead. "I didn't even bother to go in," he said. " And you wonder why DPH filed?

Do your own research to verify if you want!

I do not care if you are Pro or Against union. The facts are, Delphi and Visteon can not afford to pay the GM and Ford UAW wages and cost structure and be competitive globally. Those are the realities of the industry today. Even other suppliers that have UAW representation do not get paid in the US what Visteon and Delphi worker are obligated under the contract. Suppliers generally pay in the 10-15$/hr range. So what was asked for by DPH was reasonable given the market . Market forces have changed and so must these two companies. It is either that or what is left of US auto supplier manufacturing will leave this country all together. The UAW could strike. But for what? What little remains will leave for good. Do you want to strike and shut down GM. Go for it. And I bet you, GM in a prolonged strike would declare Chapter 11. Ford would than have to in short order. There are serious potentials for chain reaction action by the other US auto compaines that would follow. I have said this DPH filing was history. This is history because the UAW can not win this. Four Fortune 500 companies + DCC survival are in jepordy for many reasons because of the DPH action on Saturday. Blame can be placed everywhere but this is today and action must be taken now. Many band aids to work around the UAW have not worked. Those that say otherwise read to many pundits and do not work in this business. For those that do not know, the UAW 1998 strike against GM violated the contract and GM could have taken civil action. And further action by the UAW against DPH would be the same.

Don't forget this will put a lot of pressure on Visteon! When do they file?

Yes and if their legacy costs are wiped clean, that creates a competitive advantage. Unless the rest of the playing field is equalized!

Well there is a human side to it. Even my cold heart knows that but... But on a side note. I just re-read the memo hogan posted from the UAW to its Delphi members outlining the Delphi proposal. The memo was possibly dated on Oct. 5th. The UAW leadership had 3 days to publically make a case for themselves. In the memo they even state that if DPH files, the proposed wage cut backs by Delphi under Chapter 11 will be greater than what was just offered. This is a complete lack of leadership at the UAW. This is a case of a ships captain telling the crew the ship is sinking but not even taking action to get the crew and other occupants onto life boats. They are all going down.

This is not good news but necessary news.

http://www.detnews.com/2005/autosinsider/0...08/1-341550.htm The future has taken root in the present!

Well, I say it may be done. History is about to be made. The ripple affects will be seen for years.

Post the contract.

The worst option for the UAW is Ch. 11. Than everything is on the table and what Delphi proposed will actualize. This is real this time. The UAW can't win this one.

Folks: You are witnessing history. This may be the biggest systemic restructuring of the cost structure in the history of the US auto biz if Delphi doesn't flinch.

It is more complicated than that. Who is going to fund the debt spending of the US government?

The auto business is in a deflationary cycle and has been for some years now. The auto companies are under a negative pricing situation. In real terms car prices are coming down and OEMs are forced to take cost out of the vehicle. Josh this has very little to do with mis-management but market conditions have been changing and the US companies have done a lot to cut cost and work within the frame work of the UAW contracts to make that happen. But there is a point that is being reached where there needs to be a drastic change to the cost structure of these companies. This is not an option but a must if Visteon, Dephi, GM, Ford are to survive. Other smaller suppliers that have UAW workers do not pay anywhere close to the wages that the above companies pay. The smaller suppliers pay in the 15 -10 range. Think about it this way, either the UAW agrees to the Delphi demands now, or through bandruptcy later. If not Delphi could take all those jobs to Mexico or other low cost nation or region. The realities are for the UAW workers at Delphi, do you want a job or not?

I do not have time right now to go into details right now, but deflationary economics are playing themselves out.

Believe what you want!

Yup..Don't under estimate corporate politics and the GM/Toyota long term relationship.

They should have priced at $99,999.99 How's that for value pricing?

Hogan: Agree completely. The only thing I can forsee is the DPH Chapter 11 filing is eminent and a certainty and GM has been preparing for over a year for it. Whatever transpires over the next two week appears ready to rock GM.

The only thing I can make of this is GM needs cash and Toyota's deep pockets are helping GM unload their stake in Fuji. I can think of no other reason why Toyota would invest in Fuji. Toyota needs Fuji like GM needs more division. Now this begs the question, why does GM need the cash so bad? Delphi?