GLG News by Salvage Auto Auction Market Experts

The drama playing out in Washington has all the ingredients of Broadway theater. It also has a good cast, three big stars, each a very different character. Don't make any bets on a sequel.

Detroit's long overdue reckoning is here. With its cash vanishing at the rate of $2 billion a month, and with no bank in the world willing to lend it money, GM is headed toward bankruptcy or a government bailout.

The Detroit Three are fighting for their corporate lives this week as they present plans for survival to a skeptical Congress.

In a coincidence worthy of a Hollywood script writer, the Detroit Three will appear in Congress to ask for financial aid on the same day they report sales declines at the highest levels in a quarter century.

Not only is Ford in the best position to ride out this economic crisi(of the Big 3) it isn't even close. Mulally's background at Boeing taught him early and often that you can't have a big enough war chest ...just in case. In that regard he may not have been able to predict that this day was coming...

One thing seems certain to be featured in the bailout blueprint for both GM and Ford. Both companies will be ditching some brands that have long dogged their ever-more-fragile bottom lines.

With AutoNation stock down by 44% since the end of the third quarter, Eddie Lampert, its largest shareholder, and his hedge fund, RBS Partners, have other problems besides his stake in Sears.

The only group in the automotive sector struggling more than the Detroit Three is probably their suppliers. Now it seems that the three Detroit auto makers may be put on a "Cash-On-Delivery" basis by these suppliers.

 All year, GM CEO Rick Wagoner has been insisting his company will never declare bankruptcy. In October, a company spokesperson reiterated that. In fact, the company website ststes that: "bankruptcy protection is not an option GM is considering."

In July and October I published GLG News analysis' showing opinions of auto dealer clients, associates on the manufacturing side of the business and several key lenders regarding issues of mutual interest. Here is a follow-up on those articles.