“GM today is in worse shape than Nissan was when Carlos took over. It's just a much bigger company with a much bigger problem in a much worse situation.”
“Under the value pricing system, on average, the sticker prices are down a couple hundred bucks. To be effective, value pricing has to be four times that, and incentives required to sell vehicles must be removed.”
“GM needs much larger concessions than this to have a material impact. The kind of cuts that GM needs are cuts that the union would simply not agree to. And GM needs to face that at some point, just like Delphi is facing it now.”
“There is still a lot of work to do beyond the Ford agreement. The scale of restructuring in the industry is just enormous. It is going to take time, take some aggressive actions, and it is going to be expensive.”
“The deal is a move in the right direction, but no one thinks this is the end to their problems. The laundry list of the things that GM needs to do to fix itself is about a dozen items long, and this deal was a small item on that list.”
“Everybody has pretty much priced in the reality of a rate increase. [Activity] now is based on fundamentals of the companies and sectors, as opposed to the prospect of the Fed stepping in to raise rates.”
