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To: Amy J who wrote (67575)	4/12/2005 2:42:39 PM
From: GVTucker	Read Replies (1) \| Respond to of 77400

I think we've already seen the peak in energy prices and we're moving down right now. One more thing on GM and Toyota that I thought I wrote but didn't. GM execs love to point out that they spent $5 bln + in healthcare expense that Toyota doesn't have to spend. To some extent that is true, but mostly it is a poor excuse for a terrible internal culture at GM that is staid and uncreative. GM paid $293mm in cash last year. Their actual cash income tax rate was about 12%, even though they show a rate of near 40% on their GAAP books. Toyota, on the other hand paid US$6 billion in cash taxes last year for an effective tax rate of 40% or so, and a lot of that cash goes to pay for health care in Japan. The health care gets paid for both ways, it comes out of the same pockets, GM just uses it for a lame excuse while Toyota continues to innovate and put out good products.