An American Icon About to Be Lost
Crippled by debt of over $276 billion dollars and problems with selling its cars, the world’s largest auto maker is nearing bankruptcy. Some analysts are predicting that GM could file for bankruptcy protections within the next 12 months. Their bonds have already been lowered to below junk status, which is not a good sign to invest in GM. Enormous health care obligations to its workers and competition from foreign car companies are beginning to cripple the world’s largest auto maker. China has recently announced that it will enter the automobile market in the near future. If China is able to produce a quality car, clearly at a much lower cost GM will have even more problems then they been expecting. I think it is sad to see an American icon on the verge of being lost, but as they say that’s business.