Can holden survive?

bluesport · 10 Oct 2008, 07:07 (Ref:2308109)

Seven news just reported that GM shares dropped 30% and many in the US are questioning whether they can survive. Where does that leave holden if the parent company goes under? And where does that leave Supercars?

Rob Bailey · 10 Oct 2008, 07:26 (Ref:2308120)

over and out.
Supercars over and out.

Armco Bender · 10 Oct 2008, 07:35 (Ref:2308125)

All Ford Bathurst 2009.....

Bullett · 10 Oct 2008, 07:46 (Ref:2308132)

TATA

bluesport · 10 Oct 2008, 07:56 (Ref:2308141)

Quote:

Originally Posted by Armco Bender

All Ford Bathurst 2009.....

Armco, I'm as blue as you are, but it's not good news. To follow any sport is not worthwhile without a strong and respected opposition.......it's the opposition that makes winning worthwhile......let's hope for the best outcome for both sides and V8 Supercars.

Downoz · 10 Oct 2008, 08:07 (Ref:2308154)

I think that there are going to be a lot of companies really struggling in the coming year. Unfortunately, when you cut back in the spending I know in my case I was planning on a new car this year, but now that is on hold for I dont know how long. It would be a shame if either company has anymore cutbacks as it will reflect on the sport.

As for All Ford Bathurst 2009, if that what happens, I am sure that people will still go and follow the drivers. The cars now as so much alike it dont matter what make you follow. Just an old fellas thoughts.

Just Do It! · 10 Oct 2008, 08:23 (Ref:2308165)

Quote:

Originally Posted by bluesport

Armco, I'm as blue as you are, but it's not good news. To follow any sport is not worthwhile without a strong and respected opposition.......it's the opposition that makes winning worthwhile......let's hope for the best outcome for both sides and V8 Supercars.

Don't stress. Nissan and Toyota are keen as mustard to get involved!

bluesport · 10 Oct 2008, 08:36 (Ref:2308174)

Quote:

Originally Posted by Just Do It!

Don't stress. Nissan and Toyota are keen as mustard to get involved!

Nissan and Toyota?......give me a break!......there's that compares to watching holdens being beaten!!!

flyingduck · 10 Oct 2008, 08:52 (Ref:2308186)

Well Ford is not doing well either the current maket problems mean both companies have lost over 50% of market value not a good look for Ford or GM

bluesport · 10 Oct 2008, 09:02 (Ref:2308195)

Quote:

Originally Posted by flyingduck

Well Ford is not doing well either the current maket problems mean both companies have lost over 50% of market value not a good look for Ford or GM

Overall Ford are reported to be in a stronger position.

Muznik · 10 Oct 2008, 09:03 (Ref:2308196)

Quote:

Originally Posted by flyingduck

Well Ford is not doing well either the current maket problems mean both companies have lost over 50% of market value not a good look for Ford or GM

Yeah that was my take......... GMH losing only 30% proabably stands them in better stead than a lot of others lately.

All round, not good for us petrol heads who's sport could be considered an extravagance in such hard times.

bluesport · 10 Oct 2008, 09:05 (Ref:2308199)

Quote:

Originally Posted by bluesport

Nissan and Toyota?......give me a break!......there's that compares to watching holdens being beaten!!!

Sorry......typo......that should have been......"there's nothing that compares to holdens being beaten!!!"

TSR · 10 Oct 2008, 09:08 (Ref:2308205)

Quote:

Originally Posted by Just Do It!

Don't stress. Nissan and Toyota are keen as mustard to get involved!

Thats what the Black Wiggle keeps telling himself and anyone else who listens to him

xrystl · 10 Oct 2008, 09:29 (Ref:2308221)

Spoke to a friend in the States today who is in the (Auto Industry) - a serious problem that is affecting all vehicle manufacturers and dealers is that the finance companies associated with the franchises have no money to lend to the buyers , this is the same for "finance approved" home loans where the lender doesn't have the funds to pay for the home being purchased , consequently no new cars or homes are being exchanged as there are no funds to settle the deals - things are pretty crook and not going to get better in the short term - the 1987 crash will be just a minor hiccup compared to what is happening today , and all of a sudden the depression of the 1920s is starting to make some sense - best to feel sorry for all the auto workers whom will soon be out of work and forget about motor racing .

bluesport · 10 Oct 2008, 09:32 (Ref:2308223)

Quote:

Originally Posted by xrystl

Spoke to a friend in the States today who is in the (Auto Industry) - a serious problem that is affecting all vehicle manufacturers and dealers is that the finance companies associated with the franchises have no money to lend to the buyers , this is the same for "finance approved" home loans where the lender doesn't have the funds to pay for the home being purchased , consequently no new cars or homes are being exchanged as there are no funds to settle the deals - things are pretty crook and not going to get better in the short term - the 1987 crash will be just a minor hiccup compared to what is happening today , and all of a sudden the depression of the 1920s is starting to make some sense - best to feel sorry for all the auto workers whom will soon be out of work and forget about motor racing .

Thump!!!

db120176 · 10 Oct 2008, 09:39 (Ref:2308228)

Cash is king in these circumstances. Look for a private equity / pension plan buyout (ala Chrysler), and then a slash and burn. If a subsidiary makes money, they'll want it to make 20% more immediately. If it doesn't, they will close it and cut it dead. Holden as a brand may be "retired" and manufacturing probably moved to Thailand

smokinJ · 10 Oct 2008, 10:15 (Ref:2308255)

I see the Ford share price has dropped too the lowest since 1982 as well
and they have had a 30% decress across car sales in the last month in the US (across the board)
their intrerest rates have been lowered 0.5% down to a 1.5% official rate(and people are still falling over)
Banks are falling over across the world
countrys (iceland about to call bankrupcy)
I heard the over day they believe the true case of the US debt is more than 400 trilion
that is more than Aust Gross from federation (1901) to now
and if we look at Asia, their cheap tvs and stereos will not sell if no one can buy them
in fact Japans stock market fell 7% today alone

So its not a GM V Ford thing its the whole buy now pay later life style we all enjoy (or did)

I work as a casual in the Auto industry and I am very scared

smokinJ · 10 Oct 2008, 10:22 (Ref:2308265)

short selling is the biggest killer

I say I intend to buy brand X and exicise a option to buy
I then say nope put them on the Market

the price drops as there is a sudden glut of shares

I then use my equity and borrow against them
to buy them at the lower rate

this is trying up the available funds and dropping the share market and folding companies (but hey thats a risk)

This practice was made illegal in Aust last week
but its is all ok you can still do it state side

Casper · 10 Oct 2008, 12:14 (Ref:2308321)

Wholesale loaning of money has stopped so finance retailers can't buy money to sell at a retail level (you & me). In the old days money was lent by banks from their own depositors so money was hard to borrow, you just about had to beg for it. We are rapidly regressing to this situation and this is why spending will stop, at least in the short term. I heard the term "deep recession", I guess they don't want to use the word "depression" as that evokes things we don't want to talk about. I suspect all sponsorship for all sports is going to take a huge hit, stand by for the fall out in motorsport. If it all becomes to hard the promotors will just walk away as they aren't in it to lose money and no one would buy any series that didn't produce a profit. I would not be surprised to see a lot of pro sports fall over and the amateurs return to fill the gaps, but that may be a bit pessemistic just yet.

Pro Racer · 10 Oct 2008, 13:03 (Ref:2308343)

TBH i really think Holden and Ford are in no worse a boat then each other, i think it's just a fight between who jumps first.

VIVA GT · 10 Oct 2008, 13:59 (Ref:2308379)

I'd heard there was a suggestion to put two large, struggling, national companies together to form a useful combine.
General Motors and Alitalia will combine to form a new company called Genetalia!
Thank you and Goodnight!

Rachel Richards · 10 Oct 2008, 23:36 (Ref:2308755)

Quote:

Originally Posted by db120176

Cash is king in these circumstances. Look for a private equity / pension plan buyout (ala Chrysler), and then a slash and burn. If a subsidiary makes money, they'll want it to make 20% more immediately. If it doesn't, they will close it and cut it dead. Holden as a brand may be "retired" and manufacturing probably moved to Thailand

Close but no cigar.

db, almost half the current range is made in the old Daewoo factory in South Korea, it wont take much for that to have the commodore added to it.

Quite simply, all the tooling just gets moved over & away they go !

Without wanting to sound racist, $25 a day, and all the rice you can eat, has far greater economic sustainability than to $ 60 - 80 K Aussie car industry workers get paid.

bluesport · 10 Oct 2008, 23:55 (Ref:2308764)

Quote:

Originally Posted by Rachel Richards

Close but no cigar.

db, almost half the current range is made in the old Daewoo factory in South Korea, it wont take much for that to have the commodore added to it.

Quite simply, all the tooling just gets moved over & away they go !

Without wanting to sound racist, $25 a day, and all the rice you can eat, has far greater economic sustainability than to $ 60 - 80 K Aussie car industry workers get paid.

But will anyone in Oz have a job to be able to afford the commodore? I know that my job is on the line thanks to world oil prices, and Mr Rudd's carbon taxes look to be the final blow!

Armco Bender · 11 Oct 2008, 01:06 (Ref:2308785)

All Hyundai Bathurst 2009.....

Senna05 · 11 Oct 2008, 02:28 (Ref:2308816)

I dont think it's panic stations yet...

Holden, I THINK (going back quite a few years from when I studied this in Business Studies) is a sub company of GM. Yes, thats a worry... But, GM is a sub company of General Corporation, as is General Electric and General Defence Industries.

GenCorp is not about to let it's motors branch fall down... Where Holden fits into this equation is of course a worry, and I hope for the people employed by Holden that it remains profitable (even if it's through Exports.. which inevitably will slow down for a while), but GM will not fall as most people assume.

Ford is a larger concern, as I beleive it has no parent company (I could be wrong).

Asian motor companies will also probably suffer less, however with the Asian economies remaining strong it may mean that locally their imported vehicles become a tad pricier.

Overall, interesting times ahead, but I dont think it's panic stations yet.

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