What’s Good for GM…

by Mr Juggles

“General Motors Corp., the biggest U.S. automaker, said it still has enough liquidity through 2008.” And then what?
If you say you have enough liquidity through the end of the year, you don’t have enough liquidity.

Recommendation: What’s good for GM (subprime loans, CLOs, etc.), is not good for the country.

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  1. JCauto
    May 13th, 2008 | 12:15 pm

    “The company had $24 billion in liquidity and access to about $7 billion in undrawn U.S. bank loans at the end of the first quarter”

    …and I haven’t maxed out my credit cards to pay for groceries, gas and other daily expenses. That must mean that I am running my life at least as well as GM is running itself.

  2. Bill Wilson
    May 13th, 2008 | 1:08 pm

    I have sufficient liquidity to get to September 2008. WooHoo!

  3. May 13th, 2008 | 4:58 pm

    Guess the guys up in Detroit never read that lil’ blurb from Keynes, ya’ know, something about liquidity and solvency…

  4. Glukoza
    May 14th, 2008 | 9:20 pm

    Liquidity is good! Since they have it they should keep producing their gas guzzling trucks and SUV’s.

  5. 1-2
    May 15th, 2008 | 11:14 am

    Anal, i believe you mean “in the long run we’re all dead”. Unfortunately, no one told GM that “the long run” is a bit more than the 8 months we have left in ’08.

  6. May 15th, 2008 | 11:25 am

    1-2, good point. Hey Juggles, does LoSC offer GM “existing” options? I’m interested in puts somewhere around 1/09 expry, and I’m buying in size.