Berlin Opposes Special Treatment for Struggling General Motors

[and-justice-for-all]

Germany rejected General Motor's plea for targeted aid for German car factories. A government plan to subsidize car sales also unraveled, suggesting that Berlin had not yet reached a final decision on auto industry aid.

With US-based GM teetering, the multinational's German arm Opel had earlier written to German Chancellor Angela Merkel requesting she push harder for a 40 billion euro ($51.4 billion) loan from the European Investment Bank (EIB) to carmakers.

Opel also requested loans to German buyers of new cars and a government buy-in of elderly cars to stimulate the flagging German car market.

GM, the world's largest carmaker, meanwhile appealed to its 55,000 workers in Europe to skip pay increases. A German labor leader, Rainer Einenkel, rejected that, saying Opel workers wanted raises.

After dropping 23 percent on Monday, GM shares fell another 11 percent Tuesday to $2.99, a 65-year low. Deutsche Bank analysts predicted the share prices would fall to zero...

More: http://www.dw-world.de/dw/article/0,2144,3783381,00.html

[Warren Stupidity]

1. Deutsche Bank analysts predicted the share prices would fall to zero.

yikes

[Deja Q]

2. And what sort of cars do they build that would compete?

[safeinOhio]

3. Bet they shorted them

and are praying.