This is a good article. It is well written and it covers most aspects
of the situation that I have seen in other news articles.
I think there is one valid reason not to File for Chapter 11,
described here: ". . . consumers would stop buying their cars if they
could not be sure the companies would be around to honor warranties
or provide parts." Someone else wrote that Chapter 11 in the auto
industry is like a roach motel; you go into it but you never come
out, mainly for this reason.
I think they should do it in spite of this problem.
George Will and some other right-wing commentators have said that the
first thing GM needs to do is stop development of the Volt, other
hybrid technology, and small cars. They say hybrids are a passing fad
and consumers don't want small cars. They say only kooky members of
Congress want GM to make hybrids, and Congress should repeal CAFE
standards to save the auto industry. It is amazing how different
their perception of the situation is compared to mine. I say look at
Toyota, the biggest, most successful car company. They have sold a
million hybrids and they intend to make their entire line of cars
hybrid in a few years.
Will has a conflict of interests in this, which he readily admits.
Whenever he writes about the auto industry he notes that his wife
Mari Will "is a consultant for the Japan Automobile Manufacturers
Association." I almost suspect that he & the Mrs. are trying to
destroy what is left of the U.S. auto industry, on assignment from
the Association.
- Jed
