Posted by Lindsey ConnellGeneral Motors emerged from bankruptcy this morning, with chief executive Fritz Henderson promising that the fallen corporate giant will be reformed and that "business as usual is over."
The announcement signals the substantial completion of one of the largest bankruptcies in U.S. history and the next step in what has become a landmark government bailout.
The new GM will have fewer brands, fewer plants and fewer workers. The number of U.S. executives will be cut by 35 percent. But as important as this shrinking, Henderson said, is the need to revive the automaker's culture, long criticized as insular and slow-moving. Once the world's largest automaker, General Motors has been losing market share for decades.
The announcement signals the substantial completion of one of the largest bankruptcies in U.S. history and the next step in what has become a landmark government bailout.
The new GM will have fewer brands, fewer plants and fewer workers. The number of U.S. executives will be cut by 35 percent. But as important as this shrinking, Henderson said, is the need to revive the automaker's culture, long criticized as insular and slow-moving. Once the world's largest automaker, General Motors has been losing market share for decades.
I think that eventhough GM has "emerged from bankruptcy" they are still in trouble because the cars that they are still producing are not wanted/needed by Americans, their inventories are overstocked with large gas guzzling SUVs and the trend is to go green and become more fuel efficient, so GM is still behind the curve and has a ways to go before seeing significant progress
ReplyDeletePosted by: Christina Dove