GM's South America business has been deteriorating for a while. They just sold

Apr 20, 2017
7:52:35am

Mike Honcho All-American

their European division for similarly underperforming. This probably isn't that big of a deal... at least now they can write it off and get some benefit that way. They took a huge hit because of the Venezuelan currency devaluation already too.

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Mike Honcho

Previous username: BYUCoug11
Bio page: Mike Honcho
Joined: Feb 27, 2011
Last login: Apr 25, 2024
Total posts: 53,975 (10,324 FO)

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Messages

Author

Time

Venezuela seizes GM plant that had been operational for more than 70 years

cougarmanguy

4/20/17 6:45am

The plant was already there and already producing. GM was likely well aware of

DapperDan

4/20/17 6:51am

Maybe. But it was going to be seized at some point

cougarmanguy

4/20/17 6:53am

same reason people build in california knowing there will be big quakes later

BYUtiful

4/20/17 6:58am

Maybe GM was trying to get the new plant built before shutting down the

WDaddy

4/20/17 6:59am

No indication that they were trying

cougarmanguy

4/20/17 7:06am

No indication they werent.

WDaddy

4/20/17 7:09am

What am I missing here

cougarmanguy

4/20/17 7:10am

Fat fingered and now corrected

WDaddy

4/20/17 7:12am

As Dapper said, GM probably considered it more profitable to risk it than move.

Baron

4/20/17 7:05am

Of course I didn't do a cost-benefit analysis but now they don't have a plant at

cougarmanguy

4/20/17 7:07am

I guess it does based on people's assumptions. It doesn't seem odd to me. I

Baron

4/20/17 7:10am

Doesn't mean they aren't trying. Perhaps GM has capacity in other plants and was

WDaddy

4/20/17 7:11am

Detroit news gives some insight

cougarmanguy

4/20/17 7:23am

With, what seems, no desire to replace it at all

cougarmanguy

4/20/17 7:23am

No surprise at all. South America is a tough place for auto to do business

Tokolosh

4/20/17 7:58am

GM's South America business has been deteriorating for a while. They just sold

Mike Honcho

4/20/17 7:52am

Almost a billion dollar hit

cougarmanguy

4/20/17 8:04am

Clean house and throw everything in there including the kitchen sink

WDaddy

4/20/17 8:20am

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JimmyZ

4/20/17 7:42am

<< Deleted >>

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