The COVID-19 coronavirus outbreak has sent much of the US into shutdown mode, but the Big Three Detroit automakers are keeping their factories running.
General Motors and Chrysler both needed government bailouts before entering bankruptcy. Ford avoided a bailout, but CEO Alan Mulally, sensing a downturn on the wind, effectively mortgaged all the Blue Oval's assets to borrow nearly $24 billion. Last year, about 17 million passenger cars and light trucks were sold in the US, a robust figure. The automakers have set up their balance sheets to survive a downturn to below the so-called "replacement rate," of roughly 15 million. GM has also said that it can remain profitable at an 11 million annual sales level, which would recall the collapse of 2009, when sales dipped below 10 million.
)
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Big 3 Detroit automakers UAW joining forces coronavirus task force - Business InsiderConvened by UAW President Rory Gamble, the task force will be led by Gamble, GM CEO Mary Barra, Ford CEO Jim Hackett, and FCA CEO Mike Manley. Retool somewhere for emergency medical equipment, respirators etc?
Source: BusinessInsider - 🏆 729. / 51 Read more »
Stock picks to buy 13: Companies with low coronavirus, recession risk - Business InsiderBank of America says to buy companies that have both minimal China exposure and are trading at inexpensive levels — and offers a handful of picks. At this moment in time with a global health crisis - who cares - why don’t they focus their energy on supporting this new challenge ?
Source: BusinessInsider - 🏆 729. / 51 Read more »
American workers are more vulnerable than ever to crises like the novel coronavirus - Business InsiderOpinion | The quality of jobs in the US has declined over the years, which makes the coronavirus even more dangerous to our economy.
Source: BusinessInsider - 🏆 729. / 51 Read more »
Oracle CEO tells employees to work from home due to coronavirus crisis - Business InsiderOracle CEO Safra Catz tells all of its workers, except for 'critical employees,' to work from home because of the coronavirus crisis
Source: BusinessInsider - 🏆 729. / 51 Read more »