Chrysler cash drains away as crisis deepens: sources

[Eugene]

Source: Reuters

Chrysler cash drains away as crisis deepens: sources
Fri Nov 7, 2008 4:55am EST

DETROIT (Reuters) - Chrysler LLC is rapidly burning
through cash and being driven to prepare for a possible
break-up if it can't clinch a merger with General Motors
Corp or get government funding needed to ride out the
economic crisis, people with knowledge of the situation
said.

Without new funding or a wrenching restructuring,
executives have raised concern about the automaker's
ability to finance its operations from existing cash
beyond the first half of 2009, said the sources, who
were not authorized to discuss Chrysler's performance.

Chrysler has had to pay out over $100 million a month
to support strained suppliers on top of a total $200
million support to sales through dealers in August and
September as it suspended vehicle lease financing, the
sources said.

-snip-

Read more: http://www.reuters.com/article/newsOne/idUSTRE4A610I20081107

[madrchsod]

1. mercedes benz spent 500 million plus rebuilding the belvedere il plant

today they are asking their employees to take early retirement or a buy out package. a plant that is state of the art in production design is going down to one shift or closing.....what more can the auto industry do to keep alive in the usa.

[ixion]

2. "get government funding needed to ride out the economic crisis"

:argh:

government funding, i.e. OUR TAX DOLLARS so they can 'ride' out (read: keep the party going) during the rough patch while the rest of us are reduced to feudal serfs.

What is wrong with this picture?

We need to stop the practice of corporate socialism now.