Mohacsy's Safe Portfolio Member Forum

[n4807g]

I think just about everyone is underestimating the real possibility that GM's failure will be much more disruptive to the economy then government is predicting. Not even considering the impact of lost jobs in the auto industry and related industries, I think the interested parties will not agree to the final "resolution" without a legal fight.

When all is said and done several 100,000 jobs will be lost and the UAW retirees will probably see their pensions significantly reduced. I also don't believe GM will come out of the reorganization a very profitable company with a clean legal situation. Nothing has been mentioned about the affected states, but try to factor in the impact on local and state governments. I think the reality of the disruptive nature of the situation once it arrives will be a shocker.