Alex Horntoad

GM Slashes Benefits: One Bad Decision After Another

When GM goes broke, what do you think will happen to benefits?

And don't tell me GM won't go broke, it already is! It's equity is negative $40 billion. That's equivalent to the total profit GM made in the last 10 years it had a profit (1995-2004: $43 billion). Assuming GM could repeat this despite the recession, oil prices, eroded market share, subprime effect on GMAC, etc. it would take GM 10 years to have a net equity of zero!