User 183867

Wall Street Breakfast: Must-Know News

Labor is about 13% of COGS and contribution costs are about 55-60% of COGS. GM has a business model redesign issue that is much more important to unit costs.


On Nov 06 02:25 PM axelrod608 wrote:

> Robert Sare - if I get what you're saying correctly, the unions are
> willing only to choose between two options -
>
> work for wages that are unsustainable and will kill the company or

>
>
> not work.
>
> The ONLY thing that will fix our auto industry is to restrucure costs,
> the greatest of which is personnel. Without that, bankruptcy is
> just a matter of time.
>
> And it would also require serious reductions in officer, director
> and white collar salaries as well.
>
> There is NO other solution. Current personnel costs are unsustainable,
> long term.

Future of Auto Industry Up for Grabs with GM's Volt Debut

<<GM owns around five percent of the company so they tend to be favored.>>

I am a GM and A123 bull, but I haven't been able to substantiate this at all. Do you have a citation for this?

GM Should Tumble on Merrill's Pessimism

Are you kidding? The last buy on the street lowers his rating and price target and you think that's negative? Bankruptcy risk? Like the CDS market hasn't picked that up yet? Wow. "Seeking Alpha" doesn't mean you're going to find it in this call.