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Doesn't mean Subaru is history. It simply means that GM is selling off about half of it's stake in the company... probably because they don't see how it will benefit them right now.

As was stated, Toyota and Nissan are becoming much more popular in the US. So instead of GM spreading itself out by having shares in other companies, it's selling off a portion of it's stake in one company it doesn't feel will become a major profit anytime soon.

So don't worry, everyone's favorite Ricer Rocket the STi isn't gone yet ;)
 

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I think all this tells us is that GM, thanks to poor marketing, quality, product developement .......etc... is in a deep financial red ink pool. They are starting to become desperate which is very frightening. Also from looking at what Fuji paid to buyback it's own shares vs Toyota paid to GM, I'd say GM sold to Toyota for fire sale prices. They aren't even getting full market value for stocks now.
 

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fergyflyer said:
I think all this tells us is that GM, thanks to poor marketing, quality, product developement .......etc... is in a deep financial red ink pool. They are starting to become desperate which is very frightening. Also from looking at what Fuji paid to buyback it's own shares vs Toyota paid to GM, I'd say GM sold to Toyota for fire sale prices. They aren't even getting full market value for stocks now.

And the prospect for GM doesn't look so hot in the for seeable future either.

With GM's suicidal contention that large trucks and SUVs are the wave of the future, recent releases of new product such as stylistically innovative and groundbreaking Chevy HHR, and a huge lead bucket of irrelevant bloodsuckers known as the UAW around their neck, I'd suggest a safer investment than GM stock right now...hey, is Enron still selling stock?
 

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Groucho said:
And the prospect for GM doesn't look so hot in the for seeable future either.

With GM's suicidal contention that large trucks and SUVs are the wave of the future, recent releases of new product such as stylistically innovative and groundbreaking Chevy HHR, and a huge lead bucket of irrelevant bloodsuckers known as the UAW around their neck, I'd suggest a safer investment than GM stock right now...hey, is Enron still selling stock?
I'm thinking that Delphi going into bankruptcy strengthens GM's position with the union. GM can say to the UAW hey look we are not far behind.
Another though is, would it be so bad if there was Chevy, Caddy and Saturn? Maybe GM just needs to downsize and refocus. To many divisions all doing the same thing means that you compete with yourself and lower your profit margin.
 

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fergyflyer said:
Another though is, would it be so bad if there was Chevy, Caddy and Saturn? Maybe GM just needs to downsize and refocus. To many divisions all doing the same thing means that you compete with yourself and lower your profit margin.
Preaching to the group of singing people, my man. I think letting Pontiac and Buick do the inevitable and die as divisions would be a great start. Then, tie the stupid-but-decent-selling Hummers into the GMC truck line (thus killing the unsustainable Hummer brand) and eliminate the duplication of GMC-Chevy trucks by ditching the Chevy-branded ones.

Then, bring Holden / HSV in as GM's Eurofighter brand, making sure that the "designers" (more like hacks) of GM North America leave them alone...
 

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From what I know of the market, and being GM is a company I like to follow just for personal preference, this is what I can say.

Yes GM isn't doing that great, along with Ford. DC has the "domestic" market in the palm of its hands. Delphi going bankrupt dropped GM's stock by a good $5 per share through Friday and yesterday. To give you an idea, GM was around $45 per share at the beginning of this year. Now, last I looked, they're at $24.81 . That's a painfully substantial drop. At least Ford is still under $10... :lol:

Anyway, GM is inevitably going to start killing off it's branches. Pontiac and Buick will be the first to go, most likely along with Saturn. The star cars from each of the branches (the Grand Prix and such) will most likely move to Chevy, GMC, or Cadillac. If GM plays their cards right in the coming weeks, they can pull their asses out of this slump. It's all a matter, though, of if they're willing to let go of a good portion of their gas guzzling SUV's and trucks.


And just so you know, the reason DC is doing reasonably well is because half of their company is based in Europe. In fact most of the corporation as a whole is in Europe, thus why it isn't CD but DC ;) . Europe really isn't hurting as bad as America through this whole rise in oil prices and such. Sure they're paying much higher gas prices than us (easily twice the price in some places) but keep in mind. Most Eastern European's are very educated people who know how to manage their lives. They don't live day to day so to them buying a car isn't as much of a life and death decision as it is here. Also many of those countries use fuel sources other than petroleum.
 
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