Here’s a cheery little article to start your Saturday off:
The reality is that GM seems to be making the same mistakes all over again. Less than two years after the government’s historic $50 billion taxpayer bailout of the Detroit automaker, now forever known as “Government Motors”, the troubled company installed its fourth CEO, Dan Akerson – another “finance guy” to be sure, but far more concerning to GM’s long-term health, also a creature of Washington.
…..
Peter DeLorenzo at the auto blog autoextremist.com wrote this week that there is turmoil building inside GM’s ranks over Akerson’s offensive to “put his stamp on the company, no matter what the cost.” DeLorenzo suggests that GM is “on a runaway train to Hell,” and that the Detroit behemoth is already “chafing under the barrage of nonsensical orders and pronouncements emanating from Akerson by the minute.”
The Detroit News echoed the criticism, writing that Akerson’s questionable management decisions looked like “déjà vu all over again” harkening back to the bad old days of GM’s “finance- and marketing-led disasters” of the past.
There’s much more that you really need to read. Government Motors is going to be a train wreck. Soon, apparently. It is not a good situation to have bureaucrats from inside the beltway deciding how to run a big operation. Like GM. Or health care. Or pretty much anything.
GM has been cooking the books all along to show themselves making a profit. They are reporting a huge increase in car sales in part by having 510,000 cars parked on dealer lots.
http://www.zerohedge.com/article/gm-parks-510000-cars-dealers-31-higher-year-earlier
DeLorenzo suggests that GM is “on a runaway train to Hell,”
And we know the gummint can’t run a railroad, either.