General Motors Corp and Ford Motor Co reported far deeper than expected quarterly losses on Friday. GM , the largest US automaker , reported a $4.2 billion quarterly loss while Ford posted a nearly $3 billion quarterly operating loss. General Motors Cash Burn was $6.9 BILLION – Fords $7.7 BILLION. Unless something changes soon – BANKRUPTCY EMINENT
The Price of GM $4.33[GM] Stock is Down 82% and Ford $1.97 [F] is Down 71% on the Year.
Demand for cars is collapsing around the world. Fears of Deep Recessions in the United States and Europe have consumers putting off Big Ticket Purchases and a worldwide Credit Crunch makes it harder for those who want to buy cars to get loans.
The US AutoMakers Are Running Out of Cash. It’s a Disaster. Chapter 11 Bankruptcy is Coming.