![[Valid Atom 1.0]](valid-atom.png "Validate my Atom 1.0 feed")
RESCUE PLANS * USA - Automaker cuts sales estimate; hints at needing more funding
Reaction mixed to GM's financial plan
Detroit,MICH,USA -The Detroit News, by Robert Snell -January 17, 2009: -- Analyst reactions were mixed Friday about General Motor Corp.'s ability to execute a broad restructuring plan and said the company might need more money from the federal government after the automaker cut its estimate of 2009 U.S. industry sales... GM's gloomy estimate could signal a need to ask for almost $3 billion more than the $13.4 billion in loans it is scheduled to receive because the automaker said Thursday it expects a worst-case sales scenario to materialize this year, analyst Himanshu Patel of JPMorgan wrote in a research note... But he said the risk that GM will file Chapter 11 bankruptcy has declined because there are signs stakeholders are likely to agree to concessions that will help the automaker trim its debt and become a viable company, a mandate laid out in the loan agreement with the U.S. Treasury Department... Other than concessions and government incentives, GM and the auto industry need consumer confidence to improve, said Joe Phillippi, principal of Auto Trends Consulting Inc. in Short Hills, N.J...
* Ford talks to Treasury
Detroit,MICH,USA -The Detroit News -January 17, 2009: -- Ford Motor Co., the only U.S. automaker to forgo federal loans, said its finance unit is in talks with the Treasury Department and Federal Reserve on how to unfreeze the credit markets... Margaret Mellott, a spokeswoman for Ford Motor Credit, wouldn't say whether the discussions included a request for funds from the Troubled Asset Relief Program, which is being tapped by the lending arms of Chrysler LLC and General Motors Corp. ..
Labels: automakers' rescue plan
posted by Unknown @ 11:21 AM
0 Comments:
Post a Comment
<< Home