Crunch time at America's richest union

[zeitgeist]

I smell bailout.

This is a very long and detailed article but well worth the read IMHO>

DETROIT (Reuters) – Bob King, the president of the United Auto Workers, has a problem: the labor union that credits itself with creating the American middle class has glimpsed the end of the line.

Two years after the wrenching restructuring of the U.S. auto industry and the bankruptcies that remade General Motors and Chrysler, the UAW is facing its own financial reckoning. America's richest union has been living beyond its means and running down its savings, an analysis of its
~snip~

The union has been slow to trim other outlays. Since 2007, the union's spending has included promotional items such as flyswatters emblazoned with the UAW logo ($5,000), bowling ball buffers and bags ($33,000) as well as spending on golf outings and at golf resorts ($346,000). The union says it is forced to book meetings at golf resorts because in some areas of the country those are the only conference facilities large enough
~snip~

http://old.news.yahoo.com/s/nm/20110922/bs_nm/us_usa_autos_union

And again I say, I smell  bailout on the wind.

[NHSparky]

They've got 16 months to get it in, otherwise they're screwed.

[CG6468]

They've got 16 months to get it in, otherwise they're screwed.

       

Alms for the union? Any alms for the union? 

[zeitgeist]

Gee didn't the union get a major stock position in Government Motors?  And the market is going where?  Shirley, this cannot help their situation can it?   

[FreeBorn]

"As the dues-based income of the UAW apparatus declined, it increasingly sought alternative means to secure the financial position and privileges of the army of union executives that run the organization. In exchange for its collaboration with the auto companies and the White House, the UAW was granted a substantial ownership stake of the US automakers, including 55 percent of Chrysler and 17.5 percent of GM, and essentially transformed itself into a business enterprise.

"Bush's fault ???

http://www.wsws.org/articles/2010/apr2010/uawm-a01.shtml

[zeitgeist]

"As the dues-based income of the UAW apparatus declined, it increasingly sought alternative means to secure the financial position and privileges of the army of union executives that run the organization. In exchange for its collaboration with the auto companies and the White House, the UAW was granted a substantial ownership stake of the US automakers, including 55 percent of Chrysler and 17.5 percent of GM, and essentially transformed itself into a business enterprise.

"Bush's fault ???

http://www.wsws.org/articles/2010/apr2010/uawm-a01.shtml

At first glance I thought that was a chart of GM's stock price.   

[DumbAss Tanker]

Gee didn't the union get a major stock position in Government Motors?  And the market is going where?  Shirley, this cannot help their situation can it?   

Yeah, unfortunately the taxpayers got just as great a deal on that one.

[zeitgeist]

Yeah, unfortunately the taxpayers got just as great a deal on that one.

Lots of folk lost plenty on the old GM stock but this is the chart of the new GM.



Note how the slope looks the same as the UAW.  ObieWun will not cannot  let this happen.

[DumbAss Tanker]

Lots of folk lost plenty on the old GM stock but this is the chart of the new GM.



Note how the slope looks the same as the UAW.  ObieWun will not cannot  let this happen.

Might be a "Buy" at $10.  I'll pass.

[zeitgeist]

Hum maybe this chart will stick?



red is the S&P

blue is GM 

The great GM fail out.