R.I.P. General Motors (1931-2006)

[Jeff]

(...)

Jeff,
That is only partly true. The editors of Motor Trend magazine believe that
GM will be out of money within three years. It's possible that GM will
make the necessary changes to stay in business for more than three years.
For example, they could close at lots of factories and stop making the
models that are not selling well. The editors of Motor Trend magazine
believe that GM could stay in business longer than three years if they
sell more cars.

The problem is that with the union contracts, even if they close factories,
they don't save too much because they still have to pay their workers. And
they still have to pay pensions and health care for their retirees.

Plus, GM is making more money on their trucks than cars. With the price of
gas, people will be buying more cars in the future.

So for them to turn around and start making a profit in the near future is a
big problem.

If and when GM will start making money or go into bankruptcy is anyone's
guess. We could argue for months when GM will go bankrupt until it happens
(if it happens).

I agree with the editors of Motor Trend magazine. If I owned stock in GM,
I would sell it ASAP.

So would I. There are pleny of good things to invest in. Like energy stucks.
People are going to need more and more energy for years to come. There are
great techonlogy stocks. There are even good manufacturing stocks. GM is not
one of them.

Jeff

 

[Mike Hunter]

Why would anybody even consider the opinions of the editors of MT? These
are the guys that think the FWD unibody Mini van derived vehicle is 'TRUCK
of the year.' . Even Tacoma owners are laughing at that. LOL


mike hunt

 

[Mike Hunter]

There is a lot more to a truck than looks Actually domestics do make cars
and mini vans that have as much reliability and quality as their full sized
pickups. Except to the larger trucks the cars and minivan use the same
engines and trannys, an other related parts. I have yet to own a domestic
that had problems, no different then the imports I have owned.


mike hunt

 

[Edwin Pawlowski]

What difference does it make what kind of body and frame the Ridgeline
has, as long as it meets the needs of its costumers?

That is just too funny. Mike said it was a sedan dressed up to be a truck
and you just proved it.

 

[Jeff]

Millions of buyers must be concerned with how long a truck will last and
how well it works, because the F150 has been the best selling vehicle for
29 years. Like I said the Ridgeline is not much of a truck, an F150
will tow twice as much, 10,000 LB.

You might want to look at the figure again. That is Gross Combination Weight
Rating not towing capacity. The Honda has a similar rating (9600 lbs truck
weight empty + towing capacity), although many of the F150 trucks do exceed
the Honda capacity.

Jeff

 

[Jeff]

Why would anybody even consider the opinions of the editors of MT? These
are the guys that think the FWD unibody Mini van derived vehicle is 'TRUCK
of the year.' . Even Tacoma owners are laughing at that. LOL

The money magazines are not bullish on GM, either.

However, in a diversified portfolio, considering its relatively high
dividend yield, it is not that bad of an investment. I guess it is worth the
risk that it will come back.

Jeff

 

[Mike Hunter]

You got to be kidding, The share price more than doubled every time it split
and GM has always paid a dividend, including the last quarter of 2005. GM
paid more than did my oil stocks over the years.


mike hunt

 

[Ray O]

Why would anybody even consider the opinions of the editors of MT? These
are the guys that think the FWD unibody Mini van derived vehicle is 'TRUCK
of the year.' . Even Tacoma owners are laughing at that. LOL


mike hunt

The Ridigeline has some clever ideas, like the lockable storage compartment
in the bed and the 2-way tailgate. With an IRS, it should ride nicely and
it's probably a good vehicle for someone who only occasionally uses the bed
for light cargo. I doubt if it will be as popular with people who use a
truck for work or routine towing.

 

[Mike Hunter]

I would not stand under that Freightliner, that was 'towed' up in the air in
the Ford TV ad if it was being held up by a Ridgeline, if I were you if that
is what you believe. LOL


mike hunt

 

[Mike Hunter]

What if I had listened to the soothsayers and sold when Chrysler was down to
$1 a share ? LOL


Mike hunt

 

[Jeff]

You got to be kidding, The share price more than doubled every time it
split and GM has always paid a dividend, including the last quarter of
2005. GM paid more than did my oil stocks over the years.

The value of GM in 1962 was around $20, about the same as it is now,
accounting for the split in the 80s. The first split you talk about was
before the data are available in 1962, so it was in 1960 or 1961.

http://finance.yahoo.com/q/bc?s=GM&t=my

The annual dividend was in the neighborhood of a 2 or 3 dollars a year,
making a dividend yield around 5% each year. The yield varied from year to
year.

The Morningstar article said that you would have been better off investing
in your money in a savings account, but I think that is not true. Overall,
GM has not been a good investment, however.

http://finance.yahoo.com/q/hp?s=GM&a=00&b=2&c=1962&d=03&e=29&f=2006&g=v&z=66&y=132

Jeff

 

[Jeff]

What if I had listened to the soothsayers and sold when Chrysler was down
to $1 a share ? LOL

The same could be said of many companies. And many of those companies, like
Enron and Eastern Airlines, are not longer worth much.

 

[Jeff]

I would not stand under that Freightliner, that was 'towed' up in the air
in the Ford TV ad if it was being held up by a Ridgeline, if I were you if
that is what you believe. LOL

No, what I believe is that your figure was misleading and you can't even
admit when you are wrong.

And that I would not stand under the Fireghliner, regardless of what held it
up, even a Ford.

Jeff

 

[Mike Hunter]

BUT have you looked at Der Mopar today? LOL


mike hunt

 

[Jeff]

BUT have you looked at Der Mopar today? LOL

Changing the topic again, are we?

Jeff

 

[Mike Hunter]

I would if I were but I'm not an F150 will tow 10,000 LB.


mike hunt

 

[Jason]

What if I had listened to the soothsayers and sold when Chrysler was down to
$1 a share ? LOL


Mike hunt

Mike,
Good point. Mercedes purchased Chrysler. However, another car company
might NOT buy GM. There have been other car companies that have gone out
of business and all of the people that owned stock in those companies lost
all of their money. Do you want to loose money?
Does anyone remember the names of the car companies that have gone out of
business? If so, please list them. Which company made Hudson cars? I also
remember seeing a movie about a car company that went out of
business--they made cars that had three headlights--one of the headlights
was mounted in the center of the hood. What was the name of that car?
Jason

 

[Jason]

Look on the bright side, Jason. Mike can use the capital losses to offset
the capital gains he makes on property.

For me, I don't think that GM will run out of money. I think they will
become profitable again. However, I think there are better investments.

If Mike doesn't, that's his problem.

Jeff

Jeff,
good point.
Jason

 

[Jeff]

I would if I were but I'm not an F150 will tow 10,000 LB.

Please stop top posting. It makes it nearly impossible to follow the thread.

Please use punctuation. Like a period between "not and an." Capital letters
would help, too.

How do you know a Honda will not tow 10,000 lb? It is rated to tow 5,000 lb.
And it combined weight of about 9500 lbs is similar to Ford's rating.

I would be very surprised if a Honda Ridgeline could not tow 10,000 lb. I
would not recommend towing 10,000 lb with a Ridgeline or a F150.

Jeff

 

[Jeff]

Mike,
Good point. Mercedes purchased Chrysler. However, another car company
might NOT buy GM. There have been other car companies that have gone out
of business and all of the people that owned stock in those companies lost
all of their money. Do you want to loose money?
Does anyone remember the names of the car companies that have gone out of
business? If so, please list them. Which company made Hudson cars?

Hudson did. They became part of AMC. AMC became part of Chyrsler, which
became part of DC.

Oldsmobile, Stutz, Studebacker, Willeys (became part of AMC), Stanley
Steamer, Packard, Delorean and many others.