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• In November 2008, automobile giants Ford and General Motors announced major losses and plans for job cuts. On November 7, 2008, Ford said it finished the third quarter with a more than $2.9 billion loss. The automaker said it would cut up to 2,000 white collar jobs—roughly 10 percent of its workforce. Just hours later, rival General Motors announced that it had lost $4.2 billion in the third quarter. GM also said it had used $6.9 billion in cash, adding that merger talks with Chrysler had been suspended.International Herald Tribune: Ford and GM Struck by Further Losses Bloomberg.com: GM Says It May Not Have Enough Cash to Operate This Year Bloomberg.com: Ford Has $2.98 Billion Operating Loss as Sales Plunge

• Fast Facts

  1. Executives from Ford, GM and Chrysler met with lawmakers on Capitol Hill on November 6, 2008International Herald Tribune: Ford and GM Struck by Further Losses
  2. Discussions were held about an "emergency loan package"International Herald Tribune: Ford and GM Struck by Further Losses
  3. General Motors reported a $4.2 billion third quarter operating loss on November 7, 2008Bloomberg.com: GM Says It May Not Have Enough Cash to Operate This Year
  4. Also said it used $6.9 billion in cash; reports said GM could run out of money by the end of 2008Bloomberg.com: GM Says It May Not Have Enough Cash to Operate This Year
  5. Ford announced a $2.98 billion third quarter operating loss in November 2008Bloomberg.com: Ford Has $2.98 Billion Operating Loss as Sales Plunge
  6. Ford also reported that October 2008 sales declined 30% due to low consumer confidence and the credit crisisMSNBC: Ford's U.S. Sales Fell 30% in October (November 3, 2008)

• Quotes

  "The global auto industry is facing unprecedented challenges. But we are absolutely convinced that we have the right plan and are taking the right actions to weather this difficult period. In these challenging times our plan is more important than ever."—Alan Mulally, Ford's chief executiveInternational Herald Tribune: Ford and GM Struck by Further Losses

  "GM is making a pretty direct plea for help. The message is, 'We've done all the things we can do, and we need help.' And if we don't get help, fill in the blank."—Pete Hastings, Morgan Keegan analystBloomberg.com: GM Says It May Not Have Enough Cash to Operate This Year

• Related Pages on Mahalo

  Ford | General Motors | Chrysler | Rick Wagoner | 2008 Financial Crisis | Consumer Confidence | Credit Crisis | 2008 Recession | Mortgage Bailout Plan | Gas Prices | [[GM $39 Billion Loss]]

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