More GM news

[V8TV]

From the GM PR wire...

CORPORATE NEWS

GM, RENAULT, NISSAN ISSUE JOINT STATEMENT . . . GM, Renault and
Nissan
said last week that an exploratory discussion was held between Carlos
Ghosn, president and CEO of Renault, SAS and Nissan Motor Co., Ltd.,
and
Rick Wagoner, chairman and CEO of GM, regarding the possibility of
creating an industrial alliance among the three companies. The
companies
agreed to cooperate in an expeditious, confidential review of the
potential benefits of such an alliance to each company and the
feasibility of achieving them. “We had a good discussion today, and
are
looking forward to having our teams work together to explore our
ideas,”
said Wagoner and Ghosn. “It is important to let our teams work on
this
review without distraction and, therefore, we will not be providing
further public comments about it at this time.” It is expected that
this
review will take about 90 days. Following the review, the companies
will
consider whether further exploration of the alliance concept is
warranted.

[61Bubbletop]

The only people who don't realize this is a complete joke propagated by Kerkorian to jumpstart his sizable stock investment is the general public and the newsmedia at large....

[V8TV]

I'm sure if the news has a positive effect on GM stock, more than KKR will be spreading it...

[61Bubbletop]

Believe me, I like to see GM stock go up as much as the next person (shareholder), but Kerkorian really irks me. He gets off on causing turmoil in big business. The is a topic near and dear to me, and many others, several who are on this board. GM is our livelyhood, not a pawn for some 90 year old to get his rocks off. The way I see it, Kerkorian made a big investment, he hasn't got the return out of it in a timely enough manner...so he wants to shake things up. I don't believe he likes the job Wagoner is doing, at least the pace of it...he sees Ghosn (pronounced "guh-own" as in "nad" ) as an automaker ass-kicker...and yes, Ghosn did help revive Nissan, through cost cutting to the nth degree....while viewed as a "genius" by many (including Kerkorian), cost-cutting for profitability only last so long, and now Nissans are piling up like cord-wood along with everyone elses cars and trucks. Kerkorian wants Ghosn to replace Wagoner...I believe "The Rick" trumped Kerkorian by amicably agreeing to talks with Ghosn...instead of putting up a fight like Kerkorian would have liked, to make it easier to try an out him...Good move by "The Rick"

In all honesty, what could the alliance offer GM?...We already are a full-line vehicle manufacturer, so would say we make too many unique vehicls, I agree with that. We already are global, sell more cars in China than anyone, and have a strong presence in Europe with the Opel and Vauxhalls...not to mention Saab and Holden....Renault and Nissan? No thanks....

I believe Ghosn sees this as his opportunity to jump to GM before his Nissan "legacy", or house or cards as I see it, comes down around him, tarnishing his image...

In the end, they may agree to share a global platform for cost reasons, or maybe take a Nissan engine in exchange for one of out diesels or something along those lines...but a full blown merger? I don't think so....I think Ghosn, Kerkorian and York would gut GM for short term profitability and leave it in shambles...and my life and my familys well being depend on The General, along with countless neighbors, friends who work at dealers, suppliers etc... and tens of thousands of people across the entire country....

Just my thoughts on the subject....

[V8TV]

I understand... KKR had holdings in Primedia while I worked there, and we'd often hear the threats and demands of the street, and they allways clamoured for a cheaper products and methods rather than investing into higher quality products that would increase sales and generate more revenue. It's short-sighted, and unfortunatly, it's nothing new. It's interesting to hear the story from someone as close as you are. I hope GM can find a way to balance the union, sales, product, economy, oil prices, and cost issues and make a turnaround. I don't envy that responsibility!

[jimhamptons]

Kirk Kerkorian is not part of KKR...

[61Bubbletop]

Jim is very correct...Kerkorian purchased his GM deal through his Tracinda Holdings Corp. Admittedly, I am no genius when it comes to the stock market, and Kerkorian is a Billionaire, so he obviously is very skilled at his craft...I am merely one of the masses affected by these transactions. hopefully, I am very wrong, and things will work out for the betterment of everyone ....I will say that GM product in the pipeline is very encouraging...

[trapin]

I don't understand why Kerkorian is doing this at his age anyway. Does the old milkshake think he's going to live forever?

Seriously...this guy's only a few years away from taking a dirt nap and he's making financial plans like he's going to be around for the next 20 years.

If I'm Kirk Kerkorian I'm more worried about spending these last few years with my family rather than worrying about making a few hundred million dollars that I'm not going to be around to enjoy anyway.