Quote:
Originally Posted by SteveZ
The question is this - what is "stabilized?" Is it enough short-term cash to cover the bills since sales are slow? If that's what it is, so be it. Nobody has yet to define the term in this context.
The big question is what will it take to get people to buy a sizeable amount of the inventory? No sales = no future.
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SteveZ, the discussions today between the CEOS and the SBC indicated more money would probably be required down the line for the automakers until the economy rebounds and confidence returns to the consumer. It is, more or less, the same situation as the huge bailout to the banks and investment firms... the initial financial arrangement won't be enough.
Both situations are a huge burr under the US financial saddle and adding to the economical mess and growing our national indebtedness by leaps and bounds. As indicated in a comment by Nardelli, CEO of Chrysler, the ramifications of the failure of the Big 3 has tentacles thoroughly enmeshed in our economy and the effect will be devastating. I'll continue to watch this debacle unfold but as I stated earlier, I'm not sure of the solution. I am thinking the ten dollar bill in my wallet probably has a real value of 10 cents!