jhimmi

GM: The Bailout vs. Bankruptcy Meme

Why can't the US somehow guarantee the DIP credit?

The whole 'psychological damage' aspect of GM's declaring bankruptcy is ridiculous - as if talking about how GM is losing billions of dollars, and is not viable, is somehow better. If done right, it would probably be a net plus to Gm's image - people in general, and investors in particular, love it when there's a plan, especially one that makes sense, moves in a new direction, and is optimistic. A straight bailout to GM is like morphine to a cancer patient.